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Enron
Essay specific features
Written by:
Madeleine S
Date added:
August 11, 2015
Level:
University
Grade:
A
No of pages / words:
3 / 789
Was viewed:
996 times
Rating of current essay:
Essay content:
A technique used by brokerage companies for securities trading. It allowed Enron to count long-term contracts as immediate profit although most of the money wouldn't be coming in for several years. For example if a pipeline in Europe was projected to produce $89 million of profit it would be posted, but there was one problem the pipeline hadn't been built yet...
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Enron sold Wall Street and as a result the stock tripled in value from 1998 to 2000. This was not the only reason it tripled but a definite factor. Within this time Lay and Skilling cashed out around $475 million worth of stock.
Around this time the company was involved in horrible investments. They were buying ridiculous amounts of power plants, pipelines and other ventures which were over priced and not even going to be profitable...
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