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CrazyClean is located in Dallas, TX , and provides car washing services. The company sells a three - month pass for an automatic car wash
CrazyClean is located in Dallas, TX and provides car washing services. The company sells a threemonth pass for an automatic car
wash for $ which entitles the customer to an unlimited number of car washes during the contract period. CrazyClean estimates that
pass holders wash their cars equally throughout the threemonth period. On December st customers purchased $ of the three
month passes, with usage of the passes occurring evenly throughout the contract period.
Required:
Prepare the journal entries that CrazyClean would record on December and on December with respect to this
transaction.
State the account titles and amounts that will be included in CrazyClean's income statement and balance sheet.
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State the account titles and amounts that will be included in Squeaky Shine's income statement and balance sheet.
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