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Unformatted text preview: The “Accounting Scandals” paper is worth 60 points and must be a minimum of 500 words. The “Scandals” paper must begin with a description of what took place leading to the scandal. Next, describe and quantify the impact it has had on financial markets and its stock price. Lastly, detail how and why you feel the entity will survive or not survive the scandal. You must include a reference page with both papers. A company well known for its financial woes is Enron. Enron began life as an energy producer in 1985 following the coming together of two companies - Internorth and Houston Natural Gas. in just 15 years it grew from nowhere to become America's seventh largest company, employing 21,000 staff in more than 40 countries. Fortune magazine named Enron "America's Most Innovative Company" for six consecutive years from 1996 to 2001. In October2001: Enron reports a $638 million third-quarter loss and discloses a $1.2 billion reduction in shareholder equity, partly related to partnerships run by Finance executive Andrew Fastow that hid huge amounts of debt as well as writedowns in money-losing broadband and water trading ventures. Fastow ousted. broadband and water trading ventures....
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- Spring '10
- Accounting, varied job levels