Article Per Year (5 Year)
p-Index From 2021 - 2026
0.23
P-Index
This Author published in this journals
All Journal JABM JOURNAL of ACCOUNTING - BUSINESS & MANAGEMENT
Baranek, Devon
Unknown Affiliation
Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Other

Published : 2 Documents Claim Missing Document
Claim Missing Document
Check
Articles

Found 2 Documents
Search

 1 
RULES-BASED ACCOUNTING STANDARDS AND SEC ENFORCEMENT Baranek, Devon
Journal of Accounting, Business and Management (JABM) Vol 27 No 1 (2020): April
Publisher : STIE Malangkucecwara

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (346.799 KB) | DOI: 10.31966/jabminternational.v27i1.566

Abstract

This archival study investigates the association between rules-based violations and the likelihood of SEC enforcement.  I utilize two samples of firms subject to SEC investigations: 1) firms with investigations that end in an enforcement action and 2) firms with investigations that are dropped, and examine the impact of rules-based accounting violations on enforcement.  Each enforcement action in the sample specifically cites the GAAP standard violated, and the degree to which the standards contain rules-based characteristics is quantified.  The violations are classified as either rules-based or principles-based and a multivariate analysis is performed.  The ?roadmap? theory suggests that firms who commit rules-based violations are more likely to be subject to SEC enforcement, while the ?roadblock? theory predicts the opposite effect.    Overall, the results suggest the SEC is less likely to litigate cases that involve rules-based accounting violations, or more likely to drop/dismiss investigations centered on rules-based violations, consistent with the ?roadblock? theory.  No evidence is found of a relation between rules-based accounting violations and the dollar magnitude of penalties assessed.  These results are relevant for financial statement preparers, auditors, and regulators. 
Cheating at Ethics: Baranek, Devon; Dunne, Kathleen
Journal of Accounting, Business and Management (JABM) Vol 32 No 1 (2025): April
Publisher : STIE Malangkucecwara

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.31966/jabminternational.v32i1.1193

Abstract

This teaching case utilizes a real-world example of ethics violations occurring at Ernst and Young, one of the Big Four accounting firms. An SEC investigation revealed widespread cheating by its employees on professional education exams required for CPA licensing. The misconduct violated federal securities laws and the codes of conduct of several professional organizations. It was also not the first time EY had addressed ethical misconduct amongst its employees, but it failed to prevent or stop the practice from continuing. EY was fined $100 million and required to hire independent consultants to review its policies, ethics and disclosure procedures. Students are required to read through the case and work in groups to answer questions ranging in difficulty based on course level. The EY case is simple enough to be understood by all students, but may be used as a starting point for more advanced discussions on the ethical obligations and responsibilities of accountants and the accounting profession.
Co-Authors Dunne, Kathleen