Sistem Pengendalian Intern dan Kualitas Laporan Keuangan Pemerintah Daerah di Indonesia

Abstract

The purpose of this study was to determine the effect of the weakness of the internal control system on the quality of financial statements of local government in Indonesia. The results this study indicate that the weakness of the control system of accounting and reporting and weaknesses of the internal control structure a negative effect, which means that the level of susceptibility decreases the quality of the financial reports of local governments will be better and reliable. In contrast to the weakness of the control system implementation of the budget revenues and expenditures that affect positively on the quality of financial statements. Which means that the higher the weakness of the system is the better quality local government financial reports. For the overall results prove that any weaknesses in the internal control system simultaneously has influence on the quality of financial reports of local governments in Indonesia. So the results of this study prove that the weakness of internal control system is important to note that more and produce financial statements qualified local government.