you MUST first understand the business/industry for which you are conducting the research. Once, you have a good understanding of the business/industry, then you can proceed with the SIX steps of the research process.

1. Understand the facts/background of the transaction.

2. Define the problem. That is, identify the 'researchable question.'

3. Stop and think: What accounting treatment will likely be the most appropriate for the transaction/situation?

4. Search potentially relevant sources of guidance, copying any relevant guidance into a Word document.

5. Analyze alternatives, documenting your consideration of each of the possible alternatives.

6. Justify and document your conclusion.

Step 2 is essential for focusing your research efforts and to help you avoid getting lost in the guidance and wasting one of your most precious commodities (TIME). The more specific your question(s), the more effective it (they) will be in guiding your research.

Say, a landlord agrees to pay the last two months of a tenants existing lease with another party as an inducement to have the tenant sign a lease for one of its properties. The tenant needs to understand how to account for this payment.

What might the initial researchable question be?