PENGARUH LAMA USAHA DAN PEMAHAMAN AKUNTANSI TERHADAP KUALITAS LAPORAN KEUANGAN UMKMDI KOTA SUNGAI PENUH

Abstract

This study aims to examine the influence of Business Duration and Accounting Understanding on the Quality of Financial Statements of MSMEs in Sungai Penuh City. Using a quantitative approach, data were collected from 52 MSME owners through a questionnaire, and all instruments were tested for validity and reliability. The results of the respondent achievement level (TCR) show that business duration falls into the “fair” category, accounting understanding into the “good” category, and financial statement quality into the “fair” category. The multiple linear regression analysis reveals that both variables significantly affect the quality of financial statements, with a coefficient of determination of 0.881. This indicates that 88.1% of the variation in financial statement quality can be explained by business duration and accounting understanding, with accounting understanding being the most dominant factor. These findings highlight the importance of improving accounting skills among MSME owners so that the financial statements they produce are more accurate and useful for decision-making.