A. What is ABC company recognition Policy?

B. What measuremnt problems does the company's revenue recognition policy creat?

C. You are Alex Ethics, one of ABC's top-ranked salespeople. Your commission is basid on your sales per the company's revenue recognition principle. It is near year end and if you can make one more sifnificant sale you will increase your bonus by $35,000. You are having difficulty making this final sale to get your bonus. I'm Lee dontcare, one of your best customers and also a close personal friend.

1- Set up a deal so you get your bonus and it does not cost me anything?

2- What are the factors which would encourge you to pull off this deal? Discourage you?

3- What should Alex's boss do if the nature of the deal is uncoverd?

4- What policy change would you suggest to ABC to eliminate this scenario?