This is a case study for auditing class.

Each student is required to read the attached case study and provide a coherent and concise analysis of the following questions. 

1. Describe the underlying issue in the case.

2. Who are the major players and why?

3. Was any accounting fraud or malpractice committed? If so, what was it, and how could it have been prevented.

4. Was GAAP followed in the case?

NOTE: I expect a minimum of a 5 page response to the case.

This paper is for undergraduate level, and Please do not use complex language. The sources for citation should be online news sources that can be easily accessed by everyone. No more than 5 citations. A Proper response that reflects the understanding of the topic. This for an auditing class, so anyone that wants to answer this should have a depth of knowledge of Auditing standards and US GAAP.