[The following information applies to the questions displayed below.] James Company began the month of October with inventory of $16,000. The following inventory transactions occurred during the month:

1. The company purchased merchandise on account for $23,500 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 $510 were paid in cash.
2. On October 31, James paid for the merchandise purchased on October 12.
3. During October merchandise costing $18,150 was sold on account for $28,200.
4. It was determined that inventory on hand at the end of October cost $21,390.

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.) X Answer is not complete. No Date General Journal Debit Credit 1 October 12 Inventory Accounts payable 2 October 12 Inventory 510 Cash 510 October 31 Accounts payable Purchase discounts lost Cash OOO 4 October 31 Accounts receivable 28,200 Sales revenue 28,200 5 October 31 Cost of goods sold 18,150 Inventory 18,150 6 October 31 No journal entry required Sci 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.) % Answer is not complete. No Date General Journal Debit Credit 1 October 12 Purchases Accounts payable 2 October 12 510 Freight-in Cash 510 3 October 31 Accounts payable Interest expense Cash 4 October 31 28,200 Accounts receivable Sales revenue 28,200 5 October 31 No journal entry required 6 October 31 Cost of goods sold Inventory (ending) Inventory (beginning) Purchases Freight-in OOOOOO Screen