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On August 10, Saiham Company purchased $20,000 of merchandise from Fahreen Company, FOB destination, terms 1/15, n/30. The merchandise purchased by Saiham Company on August 10 had cost Fahreen Company $14,400.The appropriate party pays the freight costs of $600 on August 10. Damaged goods totaling $900 are returned to Fahreen Company for credit on August 13. The cost of these goods is $500. On August 22, Saiham Company pays Fahreen Company the due amount. Both companies use a perpetual inventory system. Instructions (a) Prepare separate entries for each transaction on the books of Saiham Company, (b) Prepare separate entries for each transaction for Fahreen Company