Hilton Co., sells one truck to Sycamore Company on November 15 for $20,000. Sycamore receives the truck on November 20 by paying $11,000, agreeing to pay the balance on December 20.

Using the accrual basis, which one of the following entries would properly record Hilton's revenue recognition for November?

Multiple Choice

• Dr. Cash 20,000Cr. Truck sales20,000
• Dr. Cash 11,000 and Accounts receivable 9,000Cr. Truck sales20,000
• Dr. Truck sales 11,000 and Accounts payable 9,000Cr. Cash20,000
• Dr. Truck sales20,000Cr. Cash 20,000