THE INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS) AND ITS APPLICATION IN SMES IN ECUADOR

Abstract

The SME in Ecuador is one of the sectors that contribute to the development of the country. The importance of keeping an Accounting under IFRS allows to standardize accounting information at a national and international level. The objective of the research is to determine the degree of application of IFRS in SMEs. Case. City of Riobamba. The deduction is used as a methodology, it has a descriptive and causal level. The survey is applied to a sample of 166 companies out of a total population of 292. The data shows a 0.804 index of Alfa de Cronbrach. The results of the research show that a high percentage of SMEs do not apply IFRS in Accounting; The application of IFRS is related to the type of constitution that the company has, the productive sector and the type of economic activity that each of the SMEs develops; and that the application of IFRS depends on the factors related to the number of employees, economic activity, seniority of the company, type of companies.