IMPLEMENTATION OF THE FINANCIAL ACCOUNTING STANDARDS FOR MICRO, SMALL, AND MEDIUM ENTITIES (SAK EMKM) AT THE FROZENFOOD MAKASSAR, TAMALATE BRANCH

Abstract

This study aims to implement the Financial Accounting Standards for Micro, Small, and Medium Entities (SAK EMKM) at The Frozenfood Makassar Tamalate Branch and to identify the challenges encountered during its implementation. The urgency of this research stems from the enterprise’s current financial recording practices, which rely solely on simple income-and-expense notes without standardized periodic financial statements. Consequently, the owner is unable to determine periodic profits and faces difficulties in obtaining accurate financial information for evaluation and decision-making. This study employs a descriptive qualitative method using interviews, observations, and documentation. The findings indicate that the primary issues faced by the business include irregular transaction recording, incomplete financial data, limited understanding of basic accounting principles, and the absence of financial statement formats aligned with SAK EMKM. Through transaction classification, Excel-based recording, and the preparation of the three main SAK EMKM financial statements, the study produces a more structured statement of financial position, income statement, and notes to the financial statements. In conclusion, the implementation of SAK EMKM enables the business owner to obtain more accurate financial information, enhances transparency, and improves the quality of managerial decision making.