On July 15, 2016, the Nixon Car Company purchased 2,300 tires from the Harwell Company for $35 each. The terms of the sale were 4/10, n/30. Nixon uses a periodic inventory system and the gross 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. -Record Purchase of Tires -Record Payment of July 2015 Purchase 2. Prepare the journal entry to record the payment on August 15, 2016. -Record Payment of July 2015 Purchase