UTILIZATION OF ANDROID-BASED RECORDING APPLICATION IN PREPARING FINANCIAL REPORTS ACCORDING TO APPLICABLE FINANCIAL ACCOUNTING STANDARDS (CASE STUDY OF DUA PUTRI GROCERY STORE IN SIDOARJO REGENCY)

Abstract

The preparation of financial reports is very important to be implemented in Micro, Small, and Medium Enterprises (MSMEs), including grocery stores that play a role in economic growth and national stability. This study focuses on identifying the level of implementation of financial reports and their preparation practices in accordance with SAK EMKM by utilizing the Android-based recording application "Teman Bisnis". The study was conducted at the "Dua Putro" grocery store located in Sidoarjo Regency, East Java Province, using a descriptive qualitative approach. Data were obtained through interviews with grocery store owners and observations of the simple financial recording process that had been carried out previously. The data were then analyzed to determine the level of implementation of financial reports and their preparation against SAK EMKM. The results of the study showed that at the "Dua Putro" grocery store there was a discrepancy in financial recording with SAK EMKM, and observations showed that the application used only produced a profit and loss report, which is one of the three components of financial reports in accordance with SAK EMKM. Financial reports in accordance with SAK EMKM consist of a financial position report, a profit and loss report, and notes to the financial statements. So, to complete the financial report according to SAK EMKM is done by combining the results of the "Teman Bisnis" application with manual calculations that have been properly educated. The existence of financial reports, according to SAK EMKM, is expected to be a means for MSMEs to develop and contribute to the Indonesian economy.