Understanding of Accounting and Internal Control of the Prospects of Implementing sak emkm-Based Financial Statements for msmes in the Teras Malioboro 2 Area, yogyakarta City

10.2478/bjlp-2023-0000087

Abstract

The role of Micro, Small and Medium Enterprises (MSMEs) is very meaningful in developing the Indonesian economy, because the MSME sector has proven to be able to absorb labor and increase people's income. The large potential of MSMEs is believed to be able to support national economic growth. However, the rapidly growing MSME sector must be supported with adequate funding in order to expand its business and increase sales. This study aims to determine the effect of understanding accounting and internal control partially and simultaneously on the prospects for implementing SAK EMKM-based financial statements. This type of quantitative research, members of SMEs in the Terraces of Malioboro 2 are the population of this study. A sample of 91 respondents. The number of samples technique using probability sampling method. The data collection method is a survey by distributing questionnaires to the respondents directly. The results of the study state that: 1) understanding of accounting partially has a positive effect on the prospects for implementing SAK EMKM-based financial reports with a contribution of 46.7%. The results on the questionnaire have the highest percentage of 77%. 2) internal control partially has a negative effect on the prospects for implementing SAK EMKM-based financial statements because internal controls that have been made have not been implemented effectively such as notes or proof of transactions that are not checked periodically on the results of questionnaires that have an average yield of 55% to 58 %. 3) understanding of accounting and internal control simultaneously influences the prospect of implementing SAK EMKM-based financial reports with a contribution of 52.5%. The prospect of implementing SAK EMKM-based financial reports can be explained by the variation of the two independent variables of 47.5%. By having the results on the questionnaire the highest average percentage is 76%.