Enron Scandal In 1985‚ Enron was formed by Kenneth Lay after the merging of Houston Natural Gas and InterNorth. In the 1990s‚ Lay helped to initiate the selling of electricity at market prices. Markets made it easier for Enron to sell energy at higher prices‚ which caused the company to get richer. Enron was the largest merchant of natural gas in 1992. In November 1999‚ the creation of EnronOnline enabled Enron to develop‚ negotiate and manage its trading business. By 2001‚ Enron became a
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What were the business risks enron faced‚ and how did those risks increase the likelihood of material misstatements in enron’s financial statement Enron faces most of the risk ordinarily faced by any energy company‚ including price instability and foreign currency risks. Enron operated in many different areas of the world with different regulatory and political risks. Enron faced business risks such as a complex business model‚ extensive use of derivatives and special purpose entities‚ aggressive
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A whistleblower is a person who tells the public or someone in authority about alleged dishonest or illegal activities. However‚ Sharron Watkins only blew the whistle internally and so did not do everything she was morally required do as Vice President of Corporate Development for Enron. 1. Sharron Watkins ignored the first signs of fraud in a selfish pursuit to develop her own career. When first warning signs of fraud happened in 1996 Watkins protested against them to higher management however
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The overall cause for Enron’s bankruptcy should be blamed on former chairman and CEO‚ Kenneth Lay. As an Enron executive‚ all of Lay’s concerns should have been focused on Enron’s profits‚ but all he cared about was his property. When he noticed Enron’s financial problem‚ he did not attempt to fix it‚ but made effort to maintain his own benefit and ignored the whole company’s and investors’ loss. His selfish and unethical behavior not only deceived the investors but also finally resulted in Enron’s
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Enron History Special Purpose Entities (SPEs) were used and often abused by most large corporations in the late 1990’s. Enron was likely the corporation that abused the accounting treatment the most‚ but certainly not the only one. The Enron SPEs were not hidden from the auditors or the investing public‚ but were so extensive‚ invasive‚ and complex that no one‚ including primary architect‚ Andrew Fastow‚ was able to understand the total implications. The 2000 financial statements for Enron included
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Do the Right Thing “When we open our eyes today and look around America‚ we see America not through the eyes of someone who has enjoyed the fruits of Americanism‚ we see America through the eyes of someone who has been the victim of Americanism. We don’t see any American dream; we’ve experienced only the American nightmare. We haven’t benefited from America’s democracy; we’ve only suffered from America’s hypocrisy.” Malcolm X Spoken in 1965‚ these words still ring true for people of color in
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Kovaleva Mary Assignment 3. Enron scandal Rise of the company Enron was an American energy company based in Houston‚ Texas. It was formed in 1985 by Kenneth Lay after merging Houston Natural Gas and InterNorth. In 1985‚ Kenneth Lay merged the natural gas pipeline companies of Houston Natural Gas and InterNorth to form Enron. In the early 1990s‚ he helped to initiate the selling of electricity at market prices and‚ soon after‚ the United States Congress passed legislation deregulating the
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"Always do the right thing. This will gratify some people and astonish the rest" -Mark Twain. Twain’s quote represents an idealism that should be backwards‚ were doing right wont astonish people because it’s universal. Sadly‚ our world lives in the idealism of Twain’s quote. Yet‚ life is infused with change‚ consequently‚ enabling use to change Twains quote by trying to make right choices part of our lives. Doing the right thing means sacrifice. In my case‚ I sacrificed time‚ using it for Juniors
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Novel Catch Us If you Can Based on the novel” Catch Us If You Can” by Catherine McPhail. I have studied many characters that can be more responsible to what they do. The main character is a responsible person. The main character is Rory that a boy in this novel. Responsible can be described as a work that we must do it by ourselves. Now‚ I will discuss to all of you about the character that has shown responsibility in his actions. It is the main character‚ Rory. Firstly‚ let me move on with
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Can You “Teach” Compassion As nurse educators‚ who could be a better example of teaching compassion to us than the Son of God Himself‚ Jesus Christ? Jesus was the ultimate teacher‚ healer‚ and lover of mankind. Matthew 9:35-39 states: “Then Jesus went about all the cities and villages‚ teaching in their synagogues‚ preaching the gospel of the kingdom‚ and healing every sickness and every disease among the people. But when He saw the multitudes‚ He was moved with compassion for them‚ because
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