Required information (The following information applies to the questions displayed below) James Company began the month of October with inventory of $33,000. The following inventory transactions occurred during the month: a. The company purchased merchandise on account for $49,000 on October 12. Terms of the purchase were 2/10, 1/30. James uses the net method to record purchases. The merchandise was shipped tob. shipping point and freight charges of $680 were paid in cash. b. On October 31, James paid for the merchandise purchased on October 12, c. During October merchandise costing $20,700 was sold on account for $31,600. d. It was determined that inventory on hand at the end of October cost $61,000, 2. Assuming that the James Company uses a periodic inventory system, prepare journal entries for the above transactions including the adjusting entry at the end of October to record cost of goods sold. James considers purchase discounts lost as part of interest expense. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Part 2 of 2 No General Journal Credit Date October 12 Detit 48,020 1 Purchases Accounts payable > 48.020 2 580 October 12 Freighi.in Cash 680 OOO OO 3 October 31 Accounts payable Interest openso Cash 48.020 980 49.000 31.000 4 October 31 Accounts receivable Sales revenue 31.600 3 5 October 31 Cost of goods sold Inventory (ending Inwentory (beginning) Purchases Freight in