1) Falcon Company had the following transactions in October. Prepare journal transactions assuming Falcon Company uses a perpetual inventory system. October 1 Falcon purchased inventory for $30,000, credit terms 2/10, n/30. 2 Falcon paid freight charges related to the October 1 purchase, $2,000. 3 Falcon returned defective merchandise from the October 1 purchase, $4,500. 6 Falcon sold $25,000 of merchandise on account, terms 3/15, n/60. The cost of the merchandise sold was $15,000. 9 Falcon paid the invoice from October 1. 12 The customer from October 6 returned merchandise, $5,000. The cost of the returned merchandise was $3,000. 19 Falcon received payment of the invoice from October 6, 24 Falcon purchased inventory for $19,500; terms 3/10, n45 Nov 03 Paid one third of the amount due from October 24 purchase. Required: Journalize the transactions for Falcon. What are account balances at Nov 3?

1) Falcon Company had the following transactions in October. Prepare journal transactions assuming Falcon Company uses a perpetual inventory system. October 1 Falcon purchased inventory for $30,000, credit terms 2/10,n/30. 2 Falcon paid freight charges related to the October 1 purchase, $2,000. 3 Falcon returned defective merchandise from the October 1 purchase, $4,500. 6 Falcon sold $25,000 of merchandise on account, terms 3/15,n/60. The cost of the merchandise sold was $15,000. 9 Falcon paid the invoice from October 1. 12 The customer from October 6 returned merchandise, $5,000. The cost of the returned merchandise was $3,000. 19 Falcon received payment of the invoice from October 6 , 24 Falcon purchased inventory for $19,500; terms 3/10,n45 Nov 03 Paid one third of the amount due from October 24 purchase. Reouired: Journalize the transactions for Falcon. What are account balances at Nov 3