tailieunhanh - FROM CREATIVE ACCOUNTING PRACTICES AND ENRON PHENOMENON TO THE CURRENT FINANCIAL CRISIS

With extensive experience, research- based knowledge and the skills of thousands of professionals across our Global Delivery Network, Accenture has a demonstrated ability and track record of delivering measurable improvements in business performance through finance and accounting BPO. We created the market with our ground-breaking deal with BP in 1991—a contract that has been renewed multiple times—and we continue to be acknowledged as a leader by industry analysts. We currently provide finance and accounting BPO services in multiple languages to more than 70 clients with operations in 150 countries. Our capabilities span a full suite of services covering the. | Annales UniversitatisApulensis Series Oeconomica 13 1 2011 FROM CREATIVE ACCOUNTING PRACTICES AND ENRON PHENOMENON TO THE CURRENT FINANCIAL CRISIS Dana Simona Gherai1 2 Diana Elisabeta Balaciu1 ABSTRACT The aim of this paper is to bring into attention the creative accounting phenomenon. Types of creative accounting practices has been examined comparing scandals occurred in large companies in the last two decades. In order to realize this scope we define the concept of creative accounting and its various forms and we try to figure the reasons why we came into a financial crisis again even if the history taught us that the risks are very large. We discuss the implication of creative accounting in the current financial crisis because many financial enterprises have sought state support within a short period of receiving unqualified audit opinion. The research method is a deductive one fundamental type that give us the necessary prerequisites for future research. We believe that creative accounting practices will not disappear unless the causes which have given rise to them will disappear too. Therefore although driven by the intention to limit creative accounting the accounting normalisers must take into account the circumstances that allow its expression under close supervision. Key words creative accounting fraud audit financial statements. JEL codes M41 M42 M49 Introduction Periods of crisis represent in fact tests for companies and managers who are tempted to resort to ingenious methods often questionable in order to improve the presentation of financial statements. Overall there is a trend and a fierce desire to perform certain activities so as to manipulate the figures financial statements and performance reports to distort the true image true and fair view . Consequences and negative impact come quickly first on investors who are misled about the true overall situation of the society as well as on companies that actually carry out the economic activities. The .