Wmi Financial Fraud Essay

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The WMI accounting fraud case described a financial fraud committed by senior management of WMI during the period of 1992-1997, with the help of Arthur Andersen their external auditing partners. The case depicts the effort of several years to inflate profits at WMI, employing aggressive accounting practices which enabled the WMI to conceal $1.7 billion in expenses (Riley and Rezaee, 12). By eliminating or deferring expenses, WMI managed to meet earnings targets and improve its share value. The fraud enabled the former top officials to enrich themselves in performance-based bonuses. Additionally, the case depicts a financial fraud committed by senior ranking executives at
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