Question 1

Explanations of the Enron collapse include all of the following except:

Accepted Answer

A) auditors who failed to audit. 
B) over-analysis by stock analysts. 
C) inattentive board of directors. 
D) executive compensation plans. 
A) auditors who failed to audit. 
B) over-analysis by stock analysts. 
C) inattentive board of directors. 
D) executive compensation plans.

Question 2

Arthur Andersen, the accounting firm who audited Enron and was also paid for consulting work, met shortly before Jeff Skilling became CEO and agreed that all of the following were matters of concern about Enron except:

Accepted Answer

A) the annual report was a house of cards. 
B) the cash flow was the only accurate part of the annual report. 
C) the company had been engaging in risky and deceptive accounting practices. 
D) limited partnerships were being used to disguise debt. 
A) the annual report was a house of cards. 
B) the cash flow was the only accurate part of the annual report. 
C) the company had been engaging in risky and deceptive accounting practices. 
D) limited partnerships were being used to disguise debt.

Question 3

Unlike the captain and the officers of the Titanic, Enron leadership:

Accepted Answer

A) grabbed the first lifeboat. 
B) was not on board. 
C) went down with the ship. 
D) saved the ship. 
A) grabbed the first lifeboat. 
B) was not on board. 
C) went down with the ship. 
D) saved the ship.

Question 4

Discuss what limited partnerships are. How did Enron used them to conceal its debt?

Accepted Answer

Limited partnerships are set u

Question 5

When Ken Lay stepped down as CEO in 2000 he planned to:

Accepted Answer

A) start a new company. 
B) take early retirement and travel. 
C) pursue political office. 
D) become more involved in charity work. 
A) start a new company. 
B) take early retirement and travel. 
C) pursue political office. 
D) become more involved in charity work.

Question 6

Jeff Skilling's resignation happened in conjunction with an energy crisis in Texas.

Accepted Answer

A) True 
 B)False

Question 7

Enron may have been involved in __________ limited partnerships and shell companies.

Accepted Answer

A) 500 
B) 3000 
C) 5000 
D) 1000 
A) 500 
B) 3000 
C) 5000 
D) 1000

Question 8

In 2000, Enron proudly claimed to have ________________ its revenue in just two years.

Accepted Answer

The answer of In 2000, Enron proudly claimed to have...

Question 9

The financial press, mesmerized by Enron's dazzling bottom line, missed a critical wake-up call.

Accepted Answer

A) True 
 B)False

Question 10

Enron seemed more interested in selling its own stock than in selling anything else.As a result, the Enron debacle can be characterized as a gigantic version of all of the following except:

Accepted Answer

A) insider trading scam. 
B) pump and dump operation. 
C) confidence game. 
D) Ponzi scheme. 
A) insider trading scam. 
B) pump and dump operation. 
C) confidence game. 
D) Ponzi scheme.

Question 11

Enron has been dubbed as "Greed Incorporated" by former employees.

Accepted Answer

A) True 
 B)False

Question 12

Qwest was accused of artificially pumping up its revenue over a period of several years.

Accepted Answer

A) True 
 B)False

Question 13

During the Andersen criminal trial, the judge made a controversial ruling that was very adverse to the defendant.The court ruled that evidence of __________ could be admitted for consideration by the jury.

Accepted Answer

A) Andersen internal e-mails concerning the Enron partnerships 
B) Andersen's history of willingness to agree with client demands and approve questionable financial statements 
C) Andersen's discussions with Enron lawyers about how to conceal wrongdoing 
D) Andersen's shredding of documents 
A) Andersen internal e-mails concerning the Enron partnerships 
B) Andersen's history of willingness to agree with client demands and approve questionable financial statements 
C) Andersen's discussions with Enron lawyers about how to conceal wrongdoing 
D) Andersen's shredding of documents

Question 14

The whistleblower in the Enron case was:

Accepted Answer

A) Vinson Elkins. 
B) J.Clifford Baxter. 
C) Sherron Watkins. 
D) A.Andersen. 
A) Vinson Elkins. 
B) J.Clifford Baxter. 
C) Sherron Watkins. 
D) A.Andersen.

Question 15

A.Andersen was the whistleblower in the Enron case.

Accepted Answer

A) True 
 B)False

Question 16

What role did the financial press play in the Enron debacle? What happenings should have been noticed, and why?

Accepted Answer

The financial press was mesmerized by En

Question 17

Jeff Skilling was the Enron executive receiving the greatest prison sentence.

Accepted Answer

A) True 
 B)False

Question 18

________________ was a financial services company best known as a commodities and futures broker.

Accepted Answer

The answer of ________________ was a financial services company best...

Question 19

WorldCom and Enron had all of the following in common except:

Accepted Answer

A) an executive compensation plan to die for. 
B) a CFO who was implicated in the scandal simply for not doing his job. 
C) a CEO who borrowed large sums from the company. 
D) the same accountant. 
A) an executive compensation plan to die for. 
B) a CFO who was implicated in the scandal simply for not doing his job. 
C) a CEO who borrowed large sums from the company. 
D) the same accountant.

Question 20

The Enron whistleblower was concerned about advice from a certain law firm because of:

Accepted Answer

A) malpractice lawsuits against the firm. 
B) its conflict of interest because of partnership fees. 
C) family ties between Enron and the law firm. 
D) the law firm's investment in Enron stock. 
A) malpractice lawsuits against the firm. 
B) its conflict of interest because of partnership fees. 
C) family ties between Enron and the law firm. 
D) the law firm's investment in Enron stock.

Explanations of the Enron collapse include all of the following except:

Arthur Andersen, the accounting firm who audited Enron and was also paid for consulting work, met shortly before Jeff Skilling became CEO and agreed that all of the following were matters of concern about Enron except:

Unlike the captain and the officers of the Titanic, Enron leadership:

Discuss what limited partnerships are. How did Enron used them to conceal its debt?

When Ken Lay stepped down as CEO in 2000 he planned to:

Jeff Skilling's resignation happened in conjunction with an energy crisis in Texas.

Enron may have been involved in __________ limited partnerships and shell companies.

In 2000, Enron proudly claimed to have ________________ its revenue in just two years.

The financial press, mesmerized by Enron's dazzling bottom line, missed a critical wake-up call.

Enron seemed more interested in selling its own stock than in selling anything else.As a result, the Enron debacle can be characterized as a gigantic version of all of the following except:

Enron has been dubbed as "Greed Incorporated" by former employees.

Qwest was accused of artificially pumping up its revenue over a period of several years.

During the Andersen criminal trial, the judge made a controversial ruling that was very adverse to the defendant.The court ruled that evidence of __________ could be admitted for consideration by the jury.

The whistleblower in the Enron case was:

A.Andersen was the whistleblower in the Enron case.

What role did the financial press play in the Enron debacle? What happenings should have been noticed, and why?

Jeff Skilling was the Enron executive receiving the greatest prison sentence.

________________ was a financial services company best known as a commodities and futures broker.

WorldCom and Enron had all of the following in common except:

The Enron whistleblower was concerned about advice from a certain law firm because of:

Introduction

Crimes Against Consumers

Unsafe Products

Environmental Crime

Institutional Corruption: Mass Media and Religion

Securities Fraud

Fiduciary Fraud

Crimes by the Government

Corruption of Public Officials

Medical Crime

Computer Crime

Conclusions

Filters

Exam 7: Corporate Fraud

Explanations of the Enron collapse include all of the following except:

Arthur Andersen, the accounting firm who audited Enron and was also paid for consulting work, met shortly before Jeff Skilling became CEO and agreed that all of the following were matters of concern about Enron except:

Unlike the captain and the officers of the Titanic, Enron leadership:

Discuss what limited partnerships are. How did Enron used them to conceal its debt?

When Ken Lay stepped down as CEO in 2000 he planned to:

Jeff Skilling's resignation happened in conjunction with an energy crisis in Texas.

Enron may have been involved in __________ limited partnerships and shell companies.

In 2000, Enron proudly claimed to have ________________ its revenue in just two years.

The financial press, mesmerized by Enron's dazzling bottom line, missed a critical wake-up call.

Enron seemed more interested in selling its own stock than in selling anything else.As a result, the Enron debacle can be characterized as a gigantic version of all of the following except:

Enron has been dubbed as "Greed Incorporated" by former employees.

Qwest was accused of artificially pumping up its revenue over a period of several years.

During the Andersen criminal trial, the judge made a controversial ruling that was very adverse to the defendant.The court ruled that evidence of __________ could be admitted for consideration by the jury.

The whistleblower in the Enron case was:

A.Andersen was the whistleblower in the Enron case.

What role did the financial press play in the Enron debacle? What happenings should have been noticed, and why?

Jeff Skilling was the Enron executive receiving the greatest prison sentence.

________________ was a financial services company best known as a commodities and futures broker.

WorldCom and Enron had all of the following in common except:

The Enron whistleblower was concerned about advice from a certain law firm because of:

Introduction

Crimes Against Consumers

Unsafe Products

Environmental Crime

Institutional Corruption: Mass Media and Religion

Securities Fraud

Fiduciary Fraud

Crimes by the Government

Corruption of Public Officials

Medical Crime

Computer Crime

Conclusions

Filters