Preparation of UMKM Financial Statements Based on Financial Accounting Standards for Micro, Small and Medium Entities (SAK-EMKM) (Case Study at Wareong Hj. Nanny UMKM Helvetia Village, Medan Helvetia)

Abstract

This study aims to determine the preparation of financial statements in micro, small and medium enterprises (MSMEs) based on financial standards for micro, small and medium entities (SAK EMKM) at Wareong Hj. Nanny. The problems discussed in this study are how the preparation of the financial statements of Waroeng Hj. Nanny, how the preparation of financial statements with SAK EMKM and what obstacles Waroeng Hj. Nanny faces to prepare its financial statements. In obtaining data, researchers used descriptive qualitative research through observation and interviews with the owner of Waroeng Hj. Nanny and documentation of documents related to the preparation of Waroeng Hj. Nanny's financial statements. The results showed that the financial statements prepared by Waroeng Hj. Nanny only recorded incoming money and outgoing money based on purchase notes and through memory, in the preparation of financial statements prepared by researchers based on SAK EMKM consisting of a statement of financial position, income statement, and notes to financial statements. And the obstacle for Waroeng Hj. Nanny in preparing its financial statements is that it does not know how to prepare financial reports based on SAK EMKM.