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SEDUCTIVE ROUTE TOWARDS CONVERGENCE DISCLOSURE: IFRS FOR SMEs,RUTA SEDUCTORA HACIA LA CONVERGENCIA DIVULGACION: NIIF PARA PYMES

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  • Aida R. Lozada Rivera

Abstract

Efforts to standardize accounting standards have been relevant since 1973, with the creation of the IASC. International Accounting Standards Board (IASB) was created in 2001. This entity currently regulates the International Financial Reporting Standards for public companies or full IFRS. These are mainly aimed at satisfying the demands of investors in international stock markets. However, there is another sector that requires standardized and quality reporting. Creditors, government and regulators belong to a group of users that need uniform financial information, enabling them to rate companies, analyze disclosure and make decisions. Addressing the claim of these, in 2009 the IASB, creates the IFRS for SMEss or little IFRS. The main attraction for adoption is that they have minimum requirements for implementation and disclosure. It is pertinent to investigate whether these requirements are a seductive element that motivates companies to implement them. The study emphasized disclosure requirements and a comparison that shows simplicity in the application of little IFRS. The trend of adoption varies between continents. The advantages and disadvantages of these rules are listed, statistics of adoption and ideas for further academic research.

Suggested Citation

  • Aida R. Lozada Rivera, 2015. "SEDUCTIVE ROUTE TOWARDS CONVERGENCE DISCLOSURE: IFRS FOR SMEs,RUTA SEDUCTORA HACIA LA CONVERGENCIA DIVULGACION: NIIF PARA PYMES," Revista Internacional Administracion & Finanzas, The Institute for Business and Finance Research, vol. 8(2), pages 83-103.
    • Handle: RePEc:ibf:riafin:v:8:y:2015:i:2:p:83-103
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    References listed on IDEAS

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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    IFRS; IFRS for SMEs; Converge Route;
    All these keywords.

    JEL classification:

    • F20 - International Economics - - International Factor Movements and International Business - - - General
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • M40 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - General
    • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting

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