ENRON

Enron: The Smartest Guys in the Room



Enron: The Smartest Guys in the Room

Introduction

Enron artificially inflated its profits while masking its deficits by using a multitude of leading companies and falsified accounts. The goal was nothing more or less, to inflate the market value. The bubble has precipitated not only the company but also the Enron auditing firm Arthur Andersen, an accomplice. The company faced serious concerns of unethical practices relating to the financial reporting and business ethics. Plus a ton of incriminating documents were destroyed by the audit firm renowned mundane. With the collapse of Enron, the company 20,000 people lost their jobs and hundreds of millions of dollars making up the bulk of pension funds, and then the retirement of thousands of Americans went up in smoke. With the collapse of Enron, the company 20,000 people lost their jobs and hundreds of millions of dollars making up the bulk of pension funds, and then the retirement of thousands of Americans went up in smoke. In 2001, Enron reported earnings of over U.S. $ 1,000 million and, on December 2, 2001, the company filed the bankruptcy with over $ 3000 million. The bankruptcy left in ruin to thousands of its employees who lose their job proficiently collapse saw shares (U.S. $ 90 to U.S. $ 0.42) which acquired stimulated by the board of the company.

The facts and doubts

In 2001, Enron reported earnings of over U.S. $ 1,000 million. However, on December 2nd it filed for bankruptcy claiming debts of more than U.S. $ 30,000 million.The bankruptcy left ruin the thousands of its employees, who lose their job well collapse saw the shares ($ 90 to U.S. $ 0.42) stimulated by the acquired company's board. Also the pension fund estimated at around U.S. $ 700 million.With its presence in over ...