Ajax Company appropriately accounts for certain sales using the installment sales method. The perpetual by CouponDropDown>inventory system is used. Information related to installment sales for 2013 and 2014 is as follows: 2013 2014 Sales $ 370,000 $ 470,000 Cost of sales 240,500 282,000 Customer collections on: 2013 sales 155,000 135,000 2014 sales 185,000 Required: 1. Calculate the amount of gross profit that would be recognized each year from installment sales. 2.1 Prepare all necessary journal entries for the year 2013. (If no entry is required for a particular transaction, select No journal entry req uired in the first account field.) Time remaining:1:44:18 2. Ajax Company appropriately accounts for certain sales using the installment sales method. The perpetual by CouponDropDown>inventory system is used. Information related to installment sales for 2013 and 2014 is as follows: 2013 2014 Sales $ 370,000 $ 470,000 Cost of sales 240,500 282,000 Customer collections on: 2013 sales 155,000 135,000 2014 sales 185,000 Required: 1. Calculate the amount of gross profit that would be recognized each year from installment sales. 2.1 Prepare all necessary journal entries for the year 2013. (If no entry is required for a particular transaction, select No journal entry required in the first account field.) 2.2 Prepare all necessary journal entries for the year 2014. (If no entry is required for a particular transaction, select No journal entry req uired in the first account field.) Assume that Ajax uses the cost recovery method to account for its installment sales. 3.1 Compute the following: 3.2 Prepare all necessary journal entries for theyear 2013. (If no entry is required for a particular transaction, select No journal entry required in the first account field.)