Resumen
In recent years, expanding globalization of financial transactions, investment opportunities and risks, banking and trading, and commerce has resulted in a call for commonly understood financial reporting standards and a universal means of communication and interpretation. Among many other benefits, such common standards and communication methods will help avoid potential global financial disasters and reduce chaos and confusion in the financial markets. As a result, two simultaneous initiatives are currently transforming the world of financial reporting ? International Financial Reporting Standards (IFRS) and eXtensible Business Reporting Language (XBRL). Both have gathered wide-spread support and adoption globally.This paper reviews the history and current literature related to both movements and attempts to examine whether they have accomplished their explicit and implicit goals and objectives. IFRS is designed to expand the ability for capital formation across national borders, reduce both information and compliance costs, and to enhance comparability, quality, and transparency of financial reports. As for XBRL, its goals are to streamline the financial information supply chain, reduce costs of processing data into information for decision making (both inside and outside firms), and to allow for faster and easier analysis of financial reporting.Keywords: International Financial Reporting Standards (IFRS), eXtensible Business Reporting Language (XBRL), comparability, convergence In recent years, expanding globalization of financial transactions, investment opportunities and risks, banking and trading, and commerce has resulted in a call for commonly understood financial reporting standards and a universal means of communication and interpretation. Among many other benefits, such common standards and communication methods will help avoid potential global financial disasters and reduce chaos and confusion in the financial markets. As a result, two simultaneous initiatives are currently transforming the world of financial reporting ? International Financial Reporting Standards (IFRS) and eXtensible Business Reporting Language (XBRL). Both have gathered wide-spread support and adoption globally.This paper reviews the history and current literature related to both movements and attempts to examine whether they have accomplished their explicit and implicit goals and objectives. IFRS is designed to expand the ability for capital formation across national borders, reduce both information and compliance costs, and to enhance comparability, quality, and transparency of financial reports. As for XBRL, its goals are to streamline the financial information supply chain, reduce costs of processing data into information for decision making (both inside and outside firms), and to allow for faster and easier analysis of financial reporting.Keywords: International Financial Reporting Standards (IFRS), eXtensible Business Reporting Language (XBRL), comparability, convergence