Lyon Retailing purchased merchandise as is (with no returns) from Federal Wholesalers with credit terms of 3/10, n/60 and an invoice price of $24,000. The merchandise had cost Federal $16,000. Assume that both buyer and seller use a perpetual inventory system and the gross method.

Prepare entries that the buyer records for the (a) purchase, (b) cash payment within the discount period, and (c) cash payment after the discount period.