1. Improper revenue recognition (25% weightage)
2. Improper expense recognition (20% weightage)
3. Improper accounting in connection with business combination (4.5%)
4. Other accounting and reporting issues ( 50.5%)

Improper revenue recognition includes the following:

• Reporting revenue in advance through techniques like holding the accounting period open, billing without shipping ( bill and hold),
• Fictitious revenue
• Improper valuation of revenue

Improper expense recognition includes the following:

• Improper capitalization
• Overstating inventory
• Understating bad debts/loan losses
• Improper use of restructuring reserves
• Failure to record asset impairments

Others  accounting and reporting issues includes the following:

• Inadequate disclosures
• Failure to disclose related party transactions
• Inappropriate accounting for nonmonetary and round-trip transactions
• Improper accounting for foreign payments in violation of the Foreign Corrupt Practices Act
• Improper use of off-balance sheet arrangements
• Improper use of non-GAAP financial measures