Kaula Coffee House Co. enters into a contract to delivery coffee to the House of Commons on July 1, 2020. The House agrees to pay the full price of $ 3,000 on August 1, 2020. The cost of goods is $ 1,400. Coffee Co. delivers the coffee to the House on July 1, 2020 and receives payment on August 1, 2020.

Prepare the journal entries for Kaula Coffee House Co. related to this contract on July 1, 2020 and August 1, 2020.