Readiness to Apply MSMEs Financial Accounting Standards in the Preparation of Financial Reports in UD. Sari Rama Bakery

Abstract

The study aims to determine the application of SAK EMKM in the preparation of financial reports UD. Sari Rama Bakery. Methods of data collection in this study using interviews, observation and documentation. The analytical method used in this research is descriptive analysis method. The results of this study indicate that UD. Sari Rama Bakery has not recorded its business financial statements in accordance with SAK EMKM because the recording of financial reports is not in accordance with SAK EMKM guidelines but only records incoming and outgoing cash. This is because UD. Sari Rama Bakery does not meet the elements of preparing financial statements according to SAK EMKM including statements of financial position, profit and loss statements, and Notes to Financial Statements. This shows that UD. Sari Rama Bakery has not been able to measure the level of the company's financial performance and has not been able to determine business development. This study contributes for SMEs to describe in more detailed and in-depth, considering that this research focuses on quality and the results of the research can describe the reality view of other SMEs on what has been experienced at the research site. The results of this research provide insight into the reality of implementing SAK EMKM and show that the importance of knowledge for MSME actors to prepare financial reports in accordance with SAK EMKM. The limitation of this research is that UD. Sari Rama Bakery does not keep financial records in accordance with SAK EMKM, but only records incoming and outgoing cash.