Question

QUESTION 1
After the energy and commodities firm Enron collapsed, thousands of stockholders lost millions of dollars as Enron share values sharply declined. The company's officers and board of directors, including Chairman Kenneth Lay, CEO Jeffrey Skilling and CFO Andy Fastow, were selling their Enron stock at higher prices due to false accounting reports that made the stock seem more valuable than it truly was. Justify whether there is there an agency cost here. If so, critically analyse on how ENRON management contributed to the collapse of energy giant Enron in 2001.

Tips on how to answer the question: A critical analysis is subjective writing because it expresses the student's opinion or evaluation of a text. Analysis means to break down and study the parts: critical reading and critical writing
1) Critical Reading
2) Critical Writing

Answer 1

Critical Reading

Critical reading is a form of language analysis that does not take the given text at face value, but involves a deeper examination of the claims put forth as well as the supporting points and possible counterarguments.

critical reading techniques

• Survey – Know what you're looking for! Before you crack open your book, take a few minutes to read the preface and introduction, and browse through the table of contents and the index. ...
• Ask questions.
• Read actively.
• Respond to your own questions.
• Record key concepts

Critical Writing

A simple definition of critical writing. Critical writing involves considering evidence to make reasoned conclusions. A mistake many beginning writers make is to use only one source to support their ideas (or, worse, no sources, making unsubstantiated statements).

The different stages you need to go through to write an excellent critical essay

1. De-code the essay title.
2. Plan your essay.
3. Research your subject.
4. Structure your essay.
5. Develop your argument and introduce counter-arguments.
6. Use relevant evidence.
7. Develop your academic writing style.
8. Find out how to present your work

The prime purpose of the critical project is to represent views based on credible information translating that information into coherent piece of writing to produce an authentic critical work rather than merely presenting facts in a mechanical way.