On January 1, 2020, ABC, Inc. enters into a contract to transfer Product A and perform Service A to XYZ Company for a total consideration of $10,000. The contract requires Product A to be delivered first, and that payment will not be made until Service A is performed. The entity has concluded that the delivery of Product A and the performance of Service A are separate performance obligations and has allocated $7,500 of the contract revenue to Product A and $2,500 to Service A based on analysis and historical data. On January 15, 2020 ABC, Inc. delivers Product A to XYZ Company. On February 2, 2020 ABC, Inc. performs Service A for XYZ Company.

1. Prepare the journal entry for January 15, 2020.
2. Prepare the journal entry for February 2, 2020.