Recognizing the Unrecognizable provides six key tests of an acquisition target's revenue recognition. Although the article focuses on the acquisition process it provides an overview of some of the mistakes that are made by companies in regards to revenue recognition.

Revenue recognition has perennially been one of the hottest of the SEC's buttons, but perhaps never more so than now. During the past year, the Commission has mounted high-profile investigations of such brand name companies as Xerox, Lucent, and Kmart, as well as several energy and telecommunications companies. SEC staff members have also recently said that the Commission will conduct a sweeping investigation into revenue recognition practices across a range of industries.