NEW YORK (CNN/Money) - The Securities and Exchange Commission may widen its probe into AOL Time Warner's accounting practices beyond its AOL unit, according to a published report Friday.

The SEC probe was originally thought to focus on how the company's AOL unit accounted for several advertising transactions in 2000 and 2001, but "I expect they will look more broadly," one person familiar with the situation told the Financial Times. "The focus will probably be on AOL but not limited to it."

The person, who the paper did not identify by name, added that it is standard practice for the SEC to take a wider look at a company's accounting after starting an initial investigation.

AOL Time Warner's CEO, Dick Parsons, said the company will cooperate with the probe, adding that the charges are without merit, but admitted the world's largest media firm must go further than merely complying with existing accounting standards, according to the Financial Times.

"I am aware that we are living through a time when merely complying with GAAP [Generally Accepted Accounting Principles] may not be enough," Parsons said.

The move to greater transparency would go "beyond any legal or accounting obligations," he continued.

Shares of AOL Time Warner (AOL: Research, Estimates), the parent company of CNN/Money, fell $1.76 Thursday, or 15 percent, to close at $9.64.