Volume 06 Issue 09 September 2023
1Citra Larashati Surya, 2Wahyu Maulana
1,2Madura University, Indonesia
DOI : https://doi.org/10.47191/ijsshr/v6-i9-19Google Scholar Download Pdf
ABSTRACT
The phenomenon is the emergence of small-scale businesses with medium-low income to large-scale businesses with medium-high turnover. In its development, although many SMEs have sprung up, not many have survived for quite a long time. One of the factors is the lack of product innovation to consumers significantly so that there is no recording of financial reports according to SAK EMKM standards so that these IKM actors do not fully know whether the business is profitable or even experiencing losses due to the absence of proper financial reporting. The research object is an IKM under the auspices of the Pamekasan Regency DISPERINDAG in the form of a batik center. The purpose of this research is to find out the right economic decision-making through the implementation of SAK EMKM using fundamental analysis. This type of research is descriptive quantitative. This research was conducted using the method of direct observation to the field. The results of the study revealed that there were no IKM financial reports that complied with SAK EMKM standards. Based on the results of calculating efficiency ratios, effectiveness and fundamental analysis, only IKM Hadi Batik produces good performance and is in accordance with company standards and appropriate economic decision-making is investment decisions in order to create an IKM that will be stronger and more developed in the future.
KEYWORDS:Financial statements; SAK EMKM; SME; Fundamental analysis; and Economic decision making
REFERENCES1) Augustine. 2010.Spatial specialization and concentration of small and medium industries (IKM) in the city of Semarang. Unpublished thesis. Faculty of Economics, Dipenogoro University, Semarang
2) Anna, Yane Devi. 2011.Analysis of the Application of Accounting and Financial Reporting in Small and Medium Enterprises - T-shirt Industry Centers in West Java. Proceedings of the national diesnatalist seminar 47th FEB – UMM.
3) Christian, Arya Bee Grand Dan Rita, Maria Rio. 2016.The Role of Using Accounting Information in Making Decisions to Support Business Success.EBBANK (7) 2 December 2016 pp 77-92 e-ISSN : 2442-4439 and p-ISSN : 2087-1
4) Dwi Putra Darmawan, NW Suryathi and Suartana, W. 2013.Financial performance as a basis for making investment decisions at Dhyana Pura Beach Resort Seminyak Kuta Badung. Journal of agribusiness management Vol 1 No 2 October 2013. ISSN : 2355-0759
5) Exposure Draft Micro, Small and Medium Entity Financial Accounting Standards (SAK EMKM). 2016. "Purpose of Financial Statements" (http://iaiglobal.or.id/ accessed on 7 October 2016)
6) Ernawati, Hidayat and Ihsan, Muhammad Rafi. 2007.The role of financial statements in decision making by managers, ownership of small and medium enterprises.Journal of accounting and management
7) Fahmi, Irham. 2012.Analysis of Second Print Financial Statements. Bandung : Alphabet
8) Himam, F. (2005).Absorbing the Wave of Change : A Grounded Case Study in Explaining Change Behavior in Organization. Journal of Psychology, 32 pp : 13-23
9) Power. 2014.Accounting Theory. Bandung: Kencana
10) Decree of the Minister of Home Affairs No. 690/900/327/1996 Ministry of Home Affairs. Regarding assessment guidelines and financial performance. Jakarta
11) Kasali, R. 2014.Cracking Values. Jakarta: PT. Main Library Gramedia
12) Mudiartini, Ni Nengah., Meitriana, Made Ary., Zukhri, Anjuman. 2015.Analysis of financial performance as a basis for making investment decisions at the Amankila Resort hotel, Manggis Karangasem village. Journal of economic education Undiksha Vol 5 No 1 of 2015. E-ISSN : 2599-1426
13) Munawar, Ishmael. 2006.The relative efficiency of the Land and Building Tax Service Office (KP PBB) in East Java. Indonesian journal of economics and business Vol 21 No 3 Hal: 299-316
14) Ningtyas, Jilma Dewi Ayu. 2017.Preparation of MSME Financial Statements Based on Micro, Small and Medium Entity Financial Accounting Standards (SAK-EMKM) (Case Study in UMKM Bintang Malam Pekalongan).OWNER RESEARCH & ACCOUNTING JOURNAL Vol. 2 No. 1 August 2017 e-ISSN : 2548-9224 and p-ISSN : 2548-7507
15) Nurlaela, Siti. 2014.The Ability to Prepare Financial Statements for Small and Medium Enterprises The Effect on the Performance of Guitar Crafting UKM in Sukoharjo Regency. Paradigm Journal Vol. 12, No. 02, period August 2014 – January 2015
16) Notoadmodjo, S. 2010. Health research methodology. Jakarta: Rineka copyright
17) Regulation of the Minister of Industry of the Republic of Indonesia No: 13/M-IND/PER/2/2013. Concerning the Technical Instructions for the Small and Medium Industry Machinery and/or Equipment Restructuring Program. Jakarta
18) Pirmatua, Sirait. 2013Reporting and Financial Reports. Yogyakarta: Graha Science
19) Ratnasari, Andri and Kirwani. 2013.The role of small and medium industries (IKM) in absorbing labor in Ponorogo district. Journal of economic education (JUPE) in 2013. Surabaya State University (UNESA)
20) King, Oskar et al. 2010.Tips for Success in Establishing and Managing MSMEs. Jakarta : EL Press
21) Saragih, Fitriani and Surikayanti. 2015.Analysis of the Application of Accounting and Its Conformity with SAK ETAP in UKM Medan Perjuangan.National Seminar on Management and Accounting Economics (SNEMA) 2015 Faculty of Economics, Padang State University ISBN: 978-602-17129-5-5
22) Sian, S and Roberts, C. 2009.UK small owner managed businesses, accounting and financial reporting needs. Journal of small business and enterprise development Vol 16 No 2 pp : 289-305
23) Sofyan, Safri. 2012.Revised Edition of Accounting Theory. Jakarta : Rajawali Press
24) Sincerely, Tahi Hamonangan Tambunan. 2011.Development of small and medium enterprise in a developing country – the Indonesian case. Journal of enterprising communities people and places in the global economy Vol 5 No 1 pp : 68-82
25) Whetyningtyas, Aprilia. 2015. Analysis of the Influence of Ability to Prepare Financial Reports and Entrepreneurial Spirit on MSME Operational Performance (Empirical Study in Embroidery and Convection Clusters of Padurenan Village, Gebog District, Kudus Regency.Proceedings of the 2015 national seminar and call for papers "Optimizing the role of the creative industry in facing the ASEAN economic community" Faculty of Economics and Business, University of August 17, 1945 Semarang