allows the company to write down profits in their books on the day the deal was signed. This meant that if Enron signed a deal worth 50 million dollars over the next 10 years, they can write in their books that they earned the entire 50 million dollars that day. Even if they haven't received a penny yet.

In other words, the company was worth more in paper than what it had actually earned

Group of answer choices

Mark to Market Accounting

Cash Method of Accounting

Accrual Method of Accounting

None of the Choices

Principle Deduction