On July 15, 2016, the Nixon Car Company purchased 1,500 tires from the Harwell Company for $46 each. The terms of the sale were 3/10, n/30. Nixon uses a periodic inventory system and the net method of accounting for purchase discounts.

Required:

1.	Prepare the journal entries to record the purchase on July 15 and payment on July 23, 2016. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

2.	Prepare the journal entry to record the payment on August 15, 2016. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

3.	If Nixon instead uses a perpetual inventory system, explain any changes to the journal entries created in requirements 1 and 2.