Enron report

Enron report - Ryan Sanders FBE 421 10am session Enron...

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Ryan Sanders FBE 421 10am session Enron Extra Credit 1. Mark to Market, if done correctly and morally, can be very beneficial and useful to the people involved. It seems to be an effective means of retaining ownership over good ideas instead of letting someone else take credit for something while a patent is trying to be obtained. The example that was used in the film was the idea of someone coming up with a brilliant idea, but by the time it has been established and patented, someone else has already been able to make a similar version of it and take away some of the potential profits. The idea behind mark to market is that it allows you to add future profits to the books or accounting records on the day the deal was signed. The problem with this technique however is that Enron could claim whatever future profits they wanted. With all the new expansions Enron was doing, they could easily say whatever number they wanted for how much they’ll be able to sell power for in the future or how much buying
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Enron report - Ryan Sanders FBE 421 10am session Enron...

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