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Financial Fraud at Royal Ahold

By Jacob Cohen,  David Hawkins,  Jenifer Raver
Published 29 Nov 2007
Reference 5422
Topic Economics & Finance
Industry Supermarkets
Region Europe
Length 17 page(s)
Inspection copy
6.00
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Summary

The case discusses the financial fraud at Royal Ahold. It highlights the company's background and the financial issues it ran into in 2000 and 2001 and the accounting games that were played by management that led to the company's fall.

Teaching objectives

Areas covered are: accounting red flags, accounting for inventory and consolidations, risk management, and restoring credibility following a financial collapse resulting from accounting fraud.

Keywords
  • RD1107
  • AR2007
  • AR0708
  • Financial Reporting
  • Control
  • Special Purpose Entities
  • Accounting
  • Balance Sheet
  • Consolidations
  • Income Statement
  • Inventory
  • Corporate Governance
  • Auditing, Risk Control and Performance
About the authors
Cohen

Jacob Cohen

Visiting Professor of Innovation, Entrepreneurship, and Capital Markets

David  Hawkins

Jenifer  Raver


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