History tells us that Enron’s woes were essentially concealed by high-risk accounting and auditing practices. When the US Securities and Exchange Commission investigated the bankruptcy, they found ...

The technique allowed Enron to have higher current profits, or so it seemed. In addition to market-to-market accounting, Enron also used special purpose entities for dump sites for its troubled ...

Before its demise, Enron was a large energy, commodities, and services company based in Houston, Texas. Its collapse affected over 20,000 employees and shook Wall Street. At Enron’s peak, its ...

Historical cost accounting and mark-to-market, or fair value, accounting are two methods used to record the price or value of assets.