Accounting Ethics and Standards in the Failure of Enron Corporation

APPLIED BUSINESS RESEARCH
Accounting Ethics and Standards in the failure of Enron Corporation

APPLIED BUSINESS RESEARCH 2
Abstract
The primary purpose of this report is to address the accounting ethics and standards in the failure
of Enron Corporation. This study will focus on different sections to assess the research concern
such as introduction, literature review, and research methodology. It can be illustrated that the
introduction section demonstrates the aim and objectives of study and also determines the
research background. It is found that the literature reviews section could be opinion and thoughts
of different authors with respect to the specified research matter. There are certain sources that
could be considered by the researcher to collect the feasible information about the research
matter such as books, journals, academic sources, online websites, and offline sources. It is also
evaluated that the research methodology is being practiced to perfume the research in a reliable
manner. Moreover, there are certain research technologies that are practiced by the researcher to
meet their aim and objectives like research approach, data collection method, sampling, data
analysis, and research type. In this research, a mixed research method is used by the researcher to
collect information about the research matter. Moreover, it can be examined that probability
sampling procedure will be practiced to select an appropriate sample from the specified
population. The statistical data analysis tool is practiced to get statistical information about the
research matter. Apart from this, descriptive research is used to get the conceptual information
about the research matter. It is also identified that ethical consideration will be practiced to
conduct appropriate behavior at the working place. In this, both primary and secondary data
collection methods are practiced by the researcher to collect the information about the research
matter.

APPLIED BUSINESS RESEARCH 3
Table of Contents
Table of Contents........................................................................................................................................3
Introduction to the research.........................................................................................................................4
Research title...........................................................................................................................................4
Overview of the client organization.........................................................................................................4
Outline the structure of this proposal.......................................................................................................5
Introduction:........................................................................................................................................5
Literature Review:...............................................................................................................................5
Research Methodology:.......................................................................................................................6
Data Analysis and Findings:................................................................................................................6
Conclusion and Recommendation:......................................................................................................6
Research Problem and Research Objective..............................................................................................7
Research questions..................................................................................................................................7
Theoretical Background/Literature review..................................................................................................8
Research Methodology..............................................................................................................................12
Research types.......................................................................................................................................12
Inform and justify the research approach (quantitative, qualitative or mixed approach)........................13
Describe the type of data will be used...................................................................................................13
Describe how data will be collected: interview, focus group or observation for qualitative research,
and/or survey and experiment for quantitative research.........................................................................13
Describe and justify the sample: sampling frame, sampling methods and technique, sampling
characteristics, and size.........................................................................................................................14
Inform how the data will be analyzed: theme-based analysis for qualitative research and statistical
analysis for quantitative research, or a combination of both for mixed approach).................................14
Explain how the methodology plan address all ethical concern.............................................................15
References.................................................................................................................................................16

APPLIED BUSINESS RESEARCH 4
Introduction to the research
Research title
The main topic of this research is to evaluate the Accounting Ethics and Standards in the failure
of Enron Corporation.
Overview of the client organization
Enron Corporation is an American based electricity and natural gas corporation. It was
established in 1930 and recognised as a largest producer along with developers of electricity.
Earlier, it was declared for bankruptcy in 2001. In addition, it is leading supplier of solar
renewable energy and wind. Enron engaged with 20,000 workforces between all of its
subsidiaries. It had observed revenue of about $101 billion in the year of 2000. The corporation
was listed in the fortune’s most innovative in the united stated for several years and was ranked
as number 7 on fortune’s 500 list in 2000.
What real problem does the research seek to resolve and why is it important to research this topic
With the purpose of maintaining the accounting ethics and integrity, there is need to follow the
accounting standards set by governing body, Arthur Anderson, and one of largest accounting and
audit company that was held accountable for the audit of Enron. Furthermore, among many other
accountabilities of auditor’s committee, the key responsibility is reporting the financial statement
in the way that comprehensibly demonstrates the financial position of the corporation (Trevino
and Nelson, 2016). It makes sure the conformity with all legal and ethical standards in that
territory, nation, and region. The committees should make sure that the corporation is fulfilling
the set of accounting activities in an ethical way that does not hinder the position of stakeholders
during making an investment decision.