! Required information [The following information applies to the questions displayed below.] James Company began the month of October with inventory of $30,000. The following inventory transactions occurred during the month: a. The company purchased merchandise on account for $44,500 on October 12. Terms of the purchase were 2/10, n/30. James uses the net method to record purchases. The merchandise was shipped f.o.b. shipping point and freight charges of $650 were paid in cash. b. On October 31, James paid for the merchandise purchased on October 12. c. During October merchandise costing $20,250 was sold on account for $31,000. d. It was determined that inventory on hand at the end of October cost $54,010. Required: 1. Assuming that the James Company uses a perpetual inventory system, prepare journal entries for the above transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)