A good example of a company that violated the use of off-balance sheet arrangements is ______________.
A) ExxonMobil
B) Enron
C) Microsoft
D) Google

Question

Quizplus · Accepted Answer

Enron is a well-known example of a company that used off-balance sheet arrangements to hide debt and inflate their financial statements. The company used special purpose entities (SPEs) to keep debt off their balance sheet while still maintaining control over the assets in those entities. This ultimately led to their bankruptcy and criminal charges brought against their executives.

A Good Example of a Company That Violated the Use