Answer the following questions from the Enron documentary: Enron Documentary
a) What is "mark to market" accounting? How was Enron able to use this to defraud its creditors and shareholders?
b) What does the term "pump and dump" mean as it relates to stock options granted to certain of the Enron executives?
c) What role did Enron play in California's energy crisis?
d) Who were Enron's outside accountants/auditors? Did they have any responsibility for the Enron scandal?
Rubric
| Criteria | Ratings | Pts | ||||
|---|---|---|---|---|---|---|
This criterion is linked to a Learning OutcomeMark to Market AccountingWhat is "Mark to Market" accounting and how was Enron able to use this to defraud creditors and shareholders? |
| 3 pts | ||||
This criterion is linked to a Learning OutcomePump and DumpWhat does "Pump and Dump" mean and how did it relate to stock options granted to certain of the Enron executives? |
| 3 pts | ||||
This criterion is linked to a Learning OutcomeEnergy CrisisWhat role did Enron play in California's energy crisis? |
| 2 pts | ||||
This criterion is linked to a Learning OutcomeOutside AccountantsWho were Enron's outside accountants/auditors and did they have any responsibility for the Enron scandal? |
|