Balance of 40 million. The Whiskey Reserve had been on the books so long that Xerox could not identify what it was for or produce any documentation to support its existence (SEC 2005a). The Whiskey Reserve had been on the books so long that Xerox could not identify what it was for or produce any documentation to support its existence (SEC 2005a). Rather than eliminate the reserve immediately Romeril, Fishbach, and Marachibroda used it to increase form 1997-1999 income by 31 million (SEC 2003a). Xerox also improperly accelerated revenue recognition due to price increases and lease period’s extensions. GAAP requires in most cases that additional price and term extensions be recognized over the remaining lease period. Xerox chose to recognize the revenue immediately. Resulting in an over reporting of 300 million in revenue and 200 million in pretax earnings (SEC 2002a).