Contributed to the downfall of enron financial practices

Assignment Help Risk Management

Reference no: EM131865069

Assignment 2 "The Downfall of Enron"

Background of the Enron Case: During the downfall of the Enron Corporation, Arthur Anderson, and Enron’s accounting firm, instructed its employees to destroy financial documents relating to Enron. On May 6, 2002 a charge of obstructing an official proceeding of The Securities Exchange Commission was filed against Arthur Andersen LLP. Hence, the term, “Whistle-blower,” was formed as well as the Sarbanes-Oxley Act which monitors the ethical and financial affairs of all business corporations.

Write a four to six (4-6) page paper in which you:

1. Determine the primary factors that contributed to the downfall of Enron’s financial practices.

2. If you had been assigned to defend Enron, justify the legality of its methods of handling its finances.

3. Differentiate the responsibilities of Arthur Anderson’s auditors from that of Enron’s executives.

4. Analyze the provisions of the Sarbanes-Oxley Act.

5. Use at least five (5) quality academic resources in this assignment. Note: Wikipedia and other Websites do not quality as academic resources.

Analyze company policies to ensure compliance with key provisions of the major federal laws related to investor protection, equal employment opportunity, consumer protection, and environmental protection.

Reference no: EM131865069

Questions Cloud

What is the inventory turnover and sales in inventory : What is the inventory turnover? What is the days' sales in inventory? How long on average did a unit of inventory sit on the shelf before it was sold?

Calculate the yield using geometric average : Using the expectations theory, what is the yield on a 1-year bond 1 year from now? Calculate the yield using a geometric average.

What is the current value of this stock : The last dividend paid by New Technologies was an annual dividend of $1.40 a share. What is the current value of this stock?

What is synthetic option created by this hedge : A consumer of a commodity uses which, a call or a put to protect income? What is the synthetic option created by this hedge.

Contributed to the downfall of enron financial practices : Determine the primary factors that contributed to the downfall of Enron’s financial practices.

Compute value of flower valley company bonds : Compute the value of Flower Valley Company bonds if investors’ required rate of return is 9.34 percent.

What is the synthetic option created by this hedge : A producer of a commodity uses which, a call or a put to protect income? What is the synthetic option created by this hedge?

About the yield to maturity of bond : What is the yield to maturity of a 30-year bond that pays a coupon rate of 7.54 percent per year, has a $1,000 par value, and is currently priced at $855?

What should be the market price of the bond : A bond will pay $10,000 at maturity in 12 years. It also makes semiannual interest payments of $350 until maturity. what should be the market price of the bond?

User Account

All Pages