A city boy, Kenny, moved to the country and bought a donkey from an old farmer for $100. The farmer agreed to deliver the donkey the next day.
The next day the farmer drove up and said: "Sorry son, but I have some bad news. The donkey died."
Kenny replied, "Well then, just give me my money back."
The farmer said, "Can't do that. I went and spent it already."
Kenny said, "OK, then just unload the donkey."
The farmer asked, "What ya gonna do with him?"
Kenny: "I'm going to raffle him off."
Farmer: "You can't raffle off a dead donkey!"
Kenny: "Sure I can. Watch me. I just won't tell anybody he is dead."
A month later the farmer met up with Kenny and asked, "What happened with that dead donkey?"
Kenny: "I raffled him off. I sold 500 tickets at $2 a piece and made a profit of $998.00."
Farmer: "Didn't anyone complain?"
Kenny: "Just the guy who won. So I gave him his $2 back."
Kenny grew up and eventually became the chairman of Enron
In case you were wondering how Enron came into so much trouble, here is an explanation reputedly given by a Colorado Aggie professor in terms his students could understand:
You have two cows.
You sell one and buy a bull.
Your herd multiplies, and the economy grows.
You sell them and retire on the income.
You have two cows.
You sell three of them to your publicly listed company, using letters of credit opened by your brother-in-law at the bank, then execute a debt/equity swap with an associated general offer so that you get all four cows back, with a tax exemption for five cows. The milk rights of the six cows are transferred via an intermediary to a Cayman Island company secretly owned by your CFO who sells the rights to all seven cows back to your listed company.
The annual report says the company owns eight cows when in fact there are seven listed, with an option on six more.
Now do you see why a company with $62 billion in assets is declaring bankruptcy?