Our first case this week is the Bre-X Minerals case.In April 1997, Bre-X Minerals, a Canadian company, was supposedly one of the most valuable companies in the world. Bre-X had reported the largest gold deposits ever discovered. It was hailed as the mining find of the century. The gold mine, located on a remote island in the East Kalimantan Province of Indonesia, supposedly had so much gold that the actual price of gold on the open market dropped significantly due to the anticipation of an increased gold supply. Within a few months, thousands of Canadians – big-time investors, pension and mutual funds, and many small investors, including hardware store owners and factory workers – got caught up in Bre-X fever. The companys stock price shot from pennies to more than $250 per share before a 10-for-1 stock split was announced. Thousands of investors believed they were on the verge of becoming millionaires. The story took a sudden turn for the worse when Michael de Guzman, Bre-Xs chief geologist and one of only a handful of company insiders entrusted with the mines core samples, apparently committed suicide by jumping out the back of a helicopter.The following is a description of the Bre-X Gold Scandal,We have a lot of questions we can discuss for this case. Lets start with the questions below. Pick one or two of the questions below to respond to.In what ways would investigatingÿÿhelp determine the value of Bre-Xs gold prospects?In what ways would investigating the companysÿÿhelp determine the value of Bre-Xs gold prospects?In what ways would investigatingÿÿhelp determine the value of Bre-Xs gold prospects?In what ways would investigating theÿÿhelp determine the value of Bre-Xs gold prospects?