International Financial Reporting Standards (IFRS 9), measurement and classification of financial instruments

Abstract

The general objective of this article is to analyze the International Financial Reporting Standard (IFRS 9) by evaluating its classification and measurement of financial instruments. The methodology used is based on a documentary bibliographic design. As a conclusion it can be mentioned that the International Financial Reporting Standards are fundamental to achieve greater transparency in the presentation of financial statements and in the more specific case IFRS 9 allows studying financial instruments, measuring and evaluating them having a greater clarity of the behavior of each one of them, which allows making more accurate decisions. It is evident that IFRS 9 is complex, however it can be analyzed and understood for the application of its basis, achieving an impact on the analysis of financial instruments and their measurement. IFRS 9, as well as the rest of the standards, can be adapted according to the changes resulting from globalization and market requirements, thus maintaining an economic balance in each of the companies that must apply these standards and avoiding succumbing to errors that may trigger bad financial and commercial procedures.