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

A) DR Cash \quad\quad 40,000
CR Copier sales \quad\quad 40,000
B) DR Cash \quad 16,000
CR Copier sales \quad 16,000
C) DR Cash \quad\quad 16,000
DR Accounts receivable \quad\quad 24,000
CR Copier sales \quad\quad 40,000
D) DR Accounts receivable \quad 40,000
CR Copier sales \quad 40,000

Under the accrual basis of accounting, revenue is recognized when earned, regardless of when the cash is received. In this case, Canon would recognize the total revenue of $40,000 for copier sales in October, which includes both the cash received ($16,000) and the amount still owed by customers (accounts receivable, $24,000). Therefore, the correct entry is a debit to Cash for $16,000, a debit to Accounts Receivable for $24,000, and a credit to Copier Sales for the total revenue of $40,000.