London Corporation has been using the cash method to account for income since its first year of operation in 2013. All sales are made on credit with notes receivable given by the customers. The income statements for 2013 and 2014 included the following amounts:

..............................................................2013................. 2014

Revenues-collection on principal . . . . ... . . . . $32,000.............. $50,000

Revenues-interest. . . . . . . . . . . . . . . . . .... . . . . . 3,600................ 5,500

Cost of goods purchased*. . . . . . . . . . . . . . . . . . 45,200............... 52,020

* Includes increase in inventory of goods on hand of $2,000 in 2013 and $8,000 in 2014.

The balances due on the notes at the end of each year were as follows:

..................................................................2013........... 2014

Notes receivable (gross)-2013. . . . . . . . . . . . . . . . $62,000........ $36,000

Notes receivable (gross)-2014. . . . . . . . . . .. . . . . . . . . . . 0......... 60,000

Unearned interest revenue-2013 . . . . . . . . . . . . . . . . 7,167......... 5,579

Unearned interest revenue-2014 . . . . . . . . . . . . . . . . . . . . 0 ..........8,043

Instructions:

Give the journal entries for 2013 and 2014 assuming the installment sales method was used rather than the cash method. (Note: Round percentage to two decimal places.)