Chapter 2 Literature Review Introduction Ethics in business has been asserted to be the most important problem facing American companies today. The issue of unethical behavior has recently become the focus of media attention in wake of scandals in companies such as Enron‚ WorldCom‚ and Tyco International. (Chen and Tang‚ 2006). The organization is one of the biggest influences on ethics in the work place. Organizations do affect ethical behaviors. One of the main sources that affect
Premium Ethics
From the Desk of: Imran Omer Case Study: WorldCom From its beginnings as a long distance call player to handler of Internet data traffic‚ WorldCom was a spectacular firework in the sky before it crashed out as one of the biggest bankruptcies America has witnessed in its corporate history. WorldCom carried more international voice traffic than any other company. It carried a large amount of the world‟s Internet traffic. WorldCom owned and operated a global IP (Internet Protocol) backbone that
Premium Operating expense Capital expenditure
report‚ it will show how Enron was involved in improper accounting practices that led to over $70 billion of losses and also Enron’s method that was used to able them in covering their losses. Enron’s fall and bankruptcy had affected not only the employees‚ but also the shareholders‚ U.S Citizens and also the impact that it had on other countries that Enron was affiliated with. The focus of this paper is on the creation of Enron’s business model that resulted in the fall of Enron. Also‚ how the SPEs
Premium Enron Enron scandal
The documentary film‚ Enron: The Smartest Guys in the Room It is a story about the greed in corporate America that is always exposed after the fact. The film examines the 2001 collapse of Enron. At the time of the collapse‚ Enron was the largest bankruptcy in history. The Enron story is one of money and politics‚ which are two areas that embody the culture of big business in America. The film does a great job of illustrating the laissez-faire culture that allowed Enron to rise to prominence while
Premium Enron
The Perfect Storm of Leaders’ Unethical Behavior: A Conceptual Framework Diane J. Chandler Regent University School of Divinity‚ United States Unethical behavior of leaders has consequences for leaders themselves‚ followers‚ and their respective organizations. After defining relevant terms including ethics‚ morality‚ and ethical and unethical leadership‚ a conceptual framework for the unethical behavior of leaders is proposed‚ which includes the three “perfect storm” dimensions of leaders‚ followers
Premium Leadership
Mr. Red Feliciano Enron Corporation’s Case Analysis Reference: Auditing and Assurance Principles by Jose Ireneo‚ Shirley Ireneo and George James 1. A. Fastow is one of the most responsible because being the Chief Financial Officer or CFO of the Enron corporation‚ he had a major influence. He was guilty of fraud‚ money laundering‚ inside trading‚ and conspiracy‚ among other crimes. Due to his acts such as misleading Enrons board of directors and audit committee on
Premium Enron Audit Auditing
What happened in Enron and Arthur Andersen? United States ’ seventh largest company Enron‚ with the slogan "Ask Why" was admired for its innovation‚ but it all ended up in bankruptcy and criminal matters. The company filed for bankruptcy in December 2001. This was one of the world ’s biggest corporate scandals in history. USA ’s seventh largest firm had in over sixteen years increased its assets from 10 billion to 70 billion U.S. dollars‚ and was by the stock market analysts from Wall Street
Premium Enron
The Enron scandal Tobias Pavel Mylene Encontro 910422 850224 Chalmers University of Technology Finacial Risk‚ MVE220 Examiner: Holger Rootzén 2012-12-02 Göteborg This report has been written and analyzed by both group members jointly. Abstract From the 1990 ’s until the fall of 2001‚ Enron was famous throughout the business world and was known as an innovator‚ technology powerhouse‚ and a corporation with no fear. The sudden fall of Enron in the end of 2001 shattered not just the business
Premium Enron Enron scandal
ENRON: A FINANCIAL REPORTING FAILURE? Anthony H. Catanach Jr.1 Associate Professor 610-519-4825 anthony.catanach@villanova.edu and Shelley Rhoades-Catanach Associate Professor Both at Villanova University College of Commerce and Finance Department of Accountancy INTRODUCTION The dramatic collapse of Enron Corporation‚ following a series of disclosures of accounting improprieties‚ has led many to question the soundness of current accounting and financial reporting standards. Within Enron’s reported
Premium Financial statements Enron Balance sheet
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
Premium Enron Andrew Fastow Jeffrey Skilling