Every time a product is sold, the seller earns and reports the revenue. However, in the real world, these sales transactions are not as simple and the principle of revenue recognition is the one that causes accountants the most problems. Nowadays, the sales process has become quite complex. There are many issues and procedures involved. Customers have the option to make payments immediately upon sale, or may choose to make payment in installments as agreed in the sales contract. There are many credit and financing options available. Customers also benefit from guaranteed return days. All of these incentives help make it easier for customers to purchase products, thereby increasing the seller's sales; However, an accountant's job has become more difficult. Accountants have not yet developed a system that is perfectly suited to revenue recognition and compatible with all different sectors. “FEI President and CEO Colleen Cunningham ranks revenue recognition among the top three financial reporting issues facing accountants today. In 2006, an investigation was conducted within the Financial Accounting Standards Advisory Council and the FASB. The majority of members of both organizations believed that finding solutions to revenue recognition issues should be the FASB's top priority. (Graziano 2005).” In this article, some of the challenges and issues regarding revenue recognition and procedures implemented by various accounting organizations, including the FASB, will be discussed. Accounting...... middle of paper ...... the most problematic financial reporting topics, winning votes from many accounting professionals as the number 1 issue to be addressed by the FASB. Although many alternative solutions are suggested, only time will tell to what extent the FASB is able to eliminate the problems.References1. Graziano, Cheryl de Mesa. “Revenue recognition: an eternal problem. » Financial Executives Magazine (2005)2. Tiller, Mikel G., Jan R. Williams and “Revenue Recognition Under New FASB Statements.” The ACP Journal 52(1982)3. Clark, Ronald L. “Revenue – Recognition Decisions: A Slippery Slope? ". The ACP Journal (2006)4. Kieso, Donald E. and Jerry J. Weygandt. Intermediate accounting. 11th. Wiley, 20045. FASB Statement Regarding Standard No.°. 48