Ahlers Clocks is a retailer of wall, mantle, and grandfather clocks and is located in the Empire Mall in Sioux Falls, South Dakota. Assume that a grandfather clock was sold for $10,000 cash plus 4 percent sales tax. The clock had originally cost Ahlers $6,000. Assume Ahlers uses a perpetual inventory system.

1. Record the sales revenue of $10,000 plus 4 percent sales tax.

2. Record the cost of goods sold of $6,000.