Below is a schedule of monthly credit sales and collections for Yzerman Company. Assuming Yzerman's cost of goods sold is always 65 percent of sales, calculate how much gross margin Yzerman will report each month (a) if revenues are recognized when the sale is made and (b) if the installment method is used.

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Sales Collections Jan. Feb, Mar Apr May June 12,000 8,000 $13,000 $11,000 9,000 13,500 11,000 10,000 11500 10,500 10,500 9,500