A customer of your audit client, Henson LLC, made a formal written request to establish a bill and hold arrangement in November 2006, an arrangement which is typical in the industry. The customer's written request outlines a delivery schedule that will begin in February 2007. As of November 2006, the product to be shipped in February is already complete and ready for shipment. Because the sale was completed in 2006, your audit client would like to record the bill and hold the transaction described as a sale in 2006. You do not recall noticing any inventory held in a separate area of the client's warehouse during the December 31, 2006 inventory observation. In making your determination regarding the timing of the revenue recognition, what criteria has the SEC determined to be important?