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The firms figures were astounding but had to be taken at face value, under Skilling, Enron adopted the market-to-market accounting, which anticipated future profits from any deal were tabulated as if it was real today. Enron could record gains from what over time could turn out as losses. This way when the companyâs fiscal health dropped it could still maintain high stock prices...
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The firms figures were astounding but had to be taken at face value, under Skilling, Enron adopted the market-to-market accounting, which anticipated future profits from any deal were tabulated as if it was real today. Enron could record gains from what over time could turn out as losses. This way when the companyâs fiscal health dropped it could still maintain high stock prices...
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General points of the essay
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