INFORMATION TECHNOLOGY, IMPLEMENTATION OF SAK EMKM, AND THE QUALITY OF FINANCIAL REPORTING

Abstract

This study is to examine the impact of information technology and the implementation of financial accounting standards for micro, small, and medium organisations (SAK EMKM) on the quality of financial reports for retail firms in Banyumas Regency, Central Java. The research employed a purposive sampling technique approach, selecting a specific number of retail businesses that fulfilled the predetermined criteria. The sampling criteria consisted of retail shops that possessed completed financial reports. A final sample of 30 micro, small, and medium-sized enterprise (MSME) retail shops in Banyumas was gathered. Subsequently, the data underwent analysis utilising the multiple linear regression technique. The findings revealed a favourable impact of information technology and the application of SAK EMKM on the quality of financial reports in retail shop MSMEs located in Banyumas. This research provides empirical data on the topic of financial accounting research for MSMEs by using a very basic model that connects two independent variables and one dependent variable, despite the small number of accessible samples.