Enron's failure to disclose its off-the-book debts was legal.Which of the following ethical categories do you think apply to that type of financial reporting?

Question

Quizplus · Accepted Answer

Enron's failure to disclose its off-the-book debts resulted in both giving or allowing a false impression and taking unfair advantage. They presented a false picture of their financial health to stakeholders while taking advantage of loopholes in accounting regulations. Therefore, the ethical categories of giving or allowing a false impression and taking unfair advantage apply to this type of financial reporting.

Enron's Failure to Disclose Its Off-The-Book Debts Was Legal