Q 1: Evaluate Enron profit and cash flow performance during the period 1998 – 2000? Profitability Measures Enron’s reported net income grew from $703 million in 1998 to $979 million in 2000‚ totaling 35.1% profit growth for the three-year period. Enron was among the leading of “high performing” companies by sustaining a high earnings growth insight. However‚ as Table 1 indicates‚ Enron’s reported profits were microscopic relation to revenues. Net income did not grow at anything near the same
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models‚ such as moral rights‚ social justice (Waddell‚ Jones and George 2011‚ 148) and utilitarianism (Duska 2007‚ 22-25). This paper will argue that the accord should be signed according to the utilitarian model. The moral rights model argues that decisions should be made to protect fundamental rights of stakeholders and do no harm (Casali 2011‚ 489). The poor working conditions in Bangladesh violate the concept that workers‚ who are stakeholders (Phillips 1997‚ 52-53)‚ have a right to safety (Byrne
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Introduction I have lived in Durham County forty 42 ½ years of my life and 2 ½ years in Granville County and has had the same thought for all that time. I’ve never thought of any theory to be right besides Religious Ethics. None of my life I paid attention to any other theory besides Divine Command Theory until I took this course. I was satisfied with just believing there was no way possibly another theory could come close to Divine theory. I researched and read other people opinions and I have
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could have prevented the fall of Enron. First of all‚ if the board of directors made the right strategies for Enron rather than created hundreds of SPEs to remove assets and debts off balance sheet‚ the picture of Enron could have made a difference. Secondly‚ if the audit committee of Enron could point out all those aggressive and risky accounting treatment and propose solutions‚ then the afterward damages could be eliminate or at least minimized. c. The BOD of Enron should have known about the risks
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Animals Moral reasoning using Utilitarian and Rights-Based ethics Utilitarianism values equality of all interest parties. It is on the principle that when making a decision‚ thorough consideration on the consequent cost and benefit must be made‚ and it is on the basis of impartial consideration of all related interest parties that the final decision should be made. Rights-based ethics‚ however‚ value the right of individuals. It is more like individualism. It is on the principle that when making a decision
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Both utilitarianism and virtue ethics have their individual strengths and weaknesses regarding moral situations. In this essay‚ I will proceed to first summarize the core concepts of both utilitarianism and virtue ethics. Then‚ I will introduce a scenario that will be used to compare the two ethical frameworks side by side based on what decision they would entail. Finally‚ I will argue that virtue ethics is morally better than utilitarianism‚ even if the outcomes of utilitarianism seem to be more
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Deontological ethics is too rigid in its emphasis on duties‚ utilitarian ethics too keen to override basic human rights. Deontology and utilitarianism are both types of ethics referring to how one reacts in a certain situation. Deontology is based on following a set of duties and sticking to these duties no matter what the consequences whereas utilitarianism is based on choosing the best outcome over a short term and long term even if it means depriving people of basic human rights for example
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ENRON: The Idiocy and the Irony Introduction Red flags were blinding as Enron learned about possible corruption with Enron Oil Trading in Valhalla‚ New York. After the merger between HNG and InterNorth‚ the Valhalla office‚ originally established by InterNorth seemed all but forgotten until quarterly and annual reports were due. Supervisors Tom Harding and Steve Sulentic were rarely on-site‚ preferring the comfort of offices in Houston. Louis Borget who established and operated the trading
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Enron The collapse of Enron Corporation an American energy‚ commodities and services based Company in Houston‚ Texas reinforces why unethical business practices are not the foundation for an enduring and sustainable enterprise. Good business practices is rewarding because it builds sustainable company‚ trust‚ integrity and organizational growth. In the article Enron ethics: Culture matters more than codes‚ reminded us that before the scandal‚ Enron appeared to have the best organization
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Business Ethics Enron Case 1. Using the options market more for gambling purposes to cover loss rather than insurance. The culture was if one of their employees was making a lot of money they didn’t ask questions they didn’t look too deep into where the money was going they eventually gave these people more money to spend and use‚ what they realized later on was that that employee wasn’t very good. They were just lucky one time. They made some losses and had to get that loss back so they put
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