Enron/Off: A Morality Play In Three Acts

Abstract

The Enron collapse has many facets. It is particularly rich in financial reporting and disclosure issues. This case addresses some of Enron’s creative revenue recognition practices and the role Special Purpose Entities and derivatives played in Enron’s reported success and ultimate failure. The role of Enron’s board of directors and senior management is also covered. The case is designed for use in intermediate and advanced accounting and management courses. It includes some suggested instructional questions.