To structure transactions that met or approximated legal requirements.
To learn more about tax laws
To test transactions and measure their results.
To see if the IRS would flag their transactions.
To determine whether they were breaking the law.
To turn a profit on ordinary economic events.
To gain favorable tax and accounting treatments for transactions.
To generate a virtual economic loss and then deduct it.
To generate long-term capital.
To increase the deductibility of depreciable assets.
Devise large transactions to increase its financial accounting income.
Monitor the repayment of principal on its notes.
Originate unsecured loans
Generate false tax reports
Emphasize short term profitability and cash flow
The integrity of Enron's executives.
The oversight provided by the Internal Revenue Service
Congress' ability to write meaningful tax legislation.
The nature of the tax system
The need for better tax code enforcement.
Enron's advisors did not have a good grasp on the tax code.
The transactions could not be documented.
The transactions were overvalued.
The transactions were highly complex.
The transactions lacked a credible business purpose.
To improve its financial statement income.
To keep disappointing news from investors.
To break into new markets.
To diversify its income sources.
To avoid paying taxes on $1B in income.
Engaging in transactions that emphasized short-term profitability.
Filing for bankruptcy.
Shifting the tax basis from non-depreciable assets to depreciable assets.
Converting short-term liabilities to long-term liabilities.
Under-reporting income to avoid paying taxes.
They provided bad advice.
They took Enron's explanations at face value.
They did not understand the transactions Enron had put together.
They misinterpreted the law in Enron's favor.
They did not understand the tax code well enough to see what Enron was doing.