Enron and Ethics
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Enron and Ethics


  • College
  • 648

Short excerpt:

The Enron case is one of the worst accounting scandals in US corporate history. After the Enron debacle the government made changes to the regulatory status of the accounting profession and created the Sarbanes and Oxley Act (SOX) of 2002. SOX was created in order to raise investor confidence after the Enron and WorldCom debacles (Techtarget, 2011). Enron had a business model that was somewhat difficult to understand, but as a public company they in theory had a CPA firm auditing all their financial statements. The company that was in charge of those audits at the time was one of the biggest five accounting firms in existence. Arthur Anderson was recognized by the industry as one of the most prestigious accounting firms in the world. Even though the accounting scam Enron was running was a

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