Determinants qualitity of financial reports with government internal control system
Article Sidebar
Main Article Content
Abstract
The purpose of this study was to determine, test and analyze the effect of applying government accounting standards, utilization of regional financial information systems and human resource competence on the quality of financial reports, with the government's internal control system as a moderating variable This study used a quantitative associative approach with data collection techniques through distributing questionnaires to the Regional Government Organizations of the Medan City Government. The population used in this study were 30 Regional Government Organizations of the Medan City Government. The sample in this study was taken by 3 people from each of the 30 Regional Government Organizations of the Medan City Government consisting of the head/secretary of the OPD, the head of the finance sub-division and the treasurer of Expenditure so that a total of 90 respondents were obtained. Data analysis techniques in this study used the Partial Least Square (PLS) based Structural Equation Modeling (SEM) method. The results showed that the application of government accounting standards had an effect on the quality of financial reports, the use of regional financial information systems had an effect on the quality of financial reports and the competence of human resources had an effect on the quality of financial reports. The government's internal control system can moderate the effect of implementing government accounting standards on the quality of financial reports, the government's internal control system cannot moderate the effect of using regional financial information systems on the quality of financial reports and the government's internal control system can moderate the influence of human resource competence on the quality of financial reports in Medan City Government Regional Apparatus Organization
Downloads
Article Details
Ardila, I., Zurriah, R., & Suryani, Y. (2019). Preparation of financial statements based on financial accounting standards for micro, small and medium entities. International Journal of Accounting & Finance in Asia Pasific (IJAFAP), 2(3), 1–6.
Barker, R. (2004). Reporting financial performance. Accounting Horizons, 18(2), 157–172.
Bastida, F., & Benito, B. (2007). Central government budget practices and transparency: An international comparison. Public Administration, 85(3), 667–716.
Boynton, W. C., & Johnson, R. N. (2005). Modern auditing: Assurance services and the integrity of financial reporting. John Wiley & Sons.
Chen, Y.-C. (2012). A comparative study of e-government XBRL implementations: The potential of improving information transparency and efficiency. Government Information Quarterly, 29(4), 553–563.
Diana, M., Pruyudo, B., & Rukhviyanti, N. (2023). Evaluating Financial Statement Presentation Compliance And Auditor Opinion Based On Bpk-Ri Examination: A Case Study In West Java Local Governments. Jurnal Audit, Pajak, Akuntansi Publik (AJIB), 2(1), 36–44.
Hartanto, T. (2022). Analysis Of Local Government Financial Statements (LKPD) In Order To Improve The Quality Of Governance And The Achievement Of Development Outcomes In South Sulawesi. JOURNAL OF MANAGEMENT, ACCOUNTING, GENERAL FINANCE AND INTERNATIONAL ECONOMIC ISSUES, 2(1), 375–383.
Hasiara, L. O., Suyudi, M., Rahman, F., & Tjetje, N. F. (2023). Government Management Strategy to Maintain the Quality of Local Government Financial Reporting in East Kalimantan Province, Indonesia. Journal of Business and Management Studies, 5(1), 163–172.
Haustein, E., & C. Lorson, P. (2023). Transparency of local government financial statements: Analyzing citizens’ perceptions. Financial Accountability & Management, 39(2), 375–393.
Herawaty, N., & Hernando, R. (2021). Analysis of Internal Control of Good Corporate Governance and Fraud Prevention (Study at the Regional Government of Jambi City). Sriwijaya International Journal of Dynamic Economics and Business, 4(2), 103–118.
Husnan, L. H., Manan, A., & Jufri, A. (2023). Effects of Government Internal Control System, Accessibility Financial Report, Local Financial Management Transparency, Local Financial Management Accountability Toward Local Government Performance. European Journal of Theoretical and Applied Sciences, 1(6), 629–640.
IPSASB. (2013). The Conceptual Framework for General Purpose Financial Reporting by Public Sector Entities, International Federation of Accountants. (January), 24–74.
Irfan, I., Sari, E. N., Muhyarsyah, M., & Irafah, S. (2020). The Improving Model of the Quality of Financial Statements and Successful Implementation of Local Financial Information Systems. International Journal of Business Economics (IJBE), 1(2), 128–144. https://doi.org/10.30596/ijbe.v1i2.5912
Mainingrum, R., Sylvia, S., Oktaviani, A. R., & Meuthia, R. F. (2023). The Effect of Audit Findings, Follow-Up Audit Recommendations, and BPK Opinions from the Previous Year on the Determination of Opinion in Local Government Financial Statement. Economics, Busines, Accounting & Society Review.
Moroney, R., & Trotman, K. T. (2016). Differences in auditors’ materiality assessments when auditing financial statements and sustainability reports. Contemporary Accounting Research, 33(2), 551–575.
Nasution, L. R., Kaharuddin, K., & Cahyowati, R. R. (2022). Investigative Audit Authority of the Supreme Audit Agency in Auditing the Management and Responsibility of State Finances. International Journal of Multicultural and Multireligious Understanding, 9(3), 319–328.
NAVIANTIA, I. K. E. A. (2020). Audit Opinion on Government Financial Report: Evidence from Local Governments in Indonesia. International Journal of Economics & Management, 14(1).
Raditya, T. A., Ermawati, E., Aswar, K., Andreas, A., & Panjaitan, I. (2022). FACTORS AFFECTING THE DISCLOSuRE LEVEL OF LOCAL GOVERNMENT FINANCIAL STATEMENTS: ROLE OF AuDIT OPINION.
Rusnindita, K., & Hidayat, R. (2023). The effect of use of information technology, human resource competency and internal control systems on the quality of regional financial reports (Study on Bangkalan Regency Regional Apparatur Organizations). Technium Soc. Sci. J., 50, 287.
Safitri, R. H., Nurullah, A., & HS, R. A. (2021). THE INFLUENCE OF OPINION AUDIT ON SCORE OF REGIONAL GOVERNMENT PERFORMANCE IN SOUTH SUMATERA. Jurnal Akuntansi, 8(2), 81–87.
Shara, Y., Muda, I., & Rujiman, R. (2019). Role of organizational commitment to the factor of performance of regional financial management. 1st Aceh Global Conference (AGC 2018), 411–415. Atlantis Press.
Sutrisna, I. W., & Utama, M. S. (2021). Good governance implementation and its effect on regional financial performance in bali province. South East Asia Journal of Contemporary Business, Economics and Law, 24, 33–39.
Suwanda, D. (2015). Factors affecting quality of local government financial statements to get unqualified opinion (WTP) of audit board of the Republic of Indonesia (BPK). Research Journal of Finance and Accounting, 6(4), 139–157.
Tasios, S., & Bekiaris, M. (2012). Auditor’s perceptions of financial reporting quality: the case of Greece. International Journal of Accounting and Financial Reporting, 2(1), 57.
Yahya, I., Hasibuan, R. P. S., Torong, Z. B., & Muda, I. (2018). Factors that influence success implementation of government accounting standard (Sap) based on acrual in the government of the districts/cities in North Sumatera Province. Journal of Management Information and Decision Sciences, 21(1), 1–14.
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.