The Importance of Consistency in Presentation

Oct 13, 2025 by wbrum.org 88 views

Application of Financial Accounting Standard Statements in the Presentation of Financial Statements at PT.PLN (Persero) North Sumatra Region Medan Branch

The Importance of Financial Statements in Business

Financial statements are the final result of the accounting process that is prepared and presented periodically to stakeholders. Through this report, management shows its accountability for the resources that have been entrusted, while providing an overview of company performance. Therefore, the financial statements contain crucial information for its users in making the right decision. In general, information in financial statements is needed by two stakeholders: Internal and external parties. Internal parties consist of management and employees who are directly involved in the company's operations, function to control and carry out the company's daily activities. While external parties include investors, shareholders, lenders, suppliers, customers, government, and people who have interests in the company.

The Role of Accounting Standards in Financial Reporting

The application of Statement of Financial Accounting Standards (PSAK) at PT PLN (Persero) Medan Branch is very important to ensure transparency in financial statements. PSAK is a guideline provided by the Indonesian Accountant Association (IAI) to regulate the preparation of consistent and accurate financial statements. By following this standard, PT PLN not only meets legal obligations, but also increases public confidence in its financial management. The Indonesian government has mandated the use of PSAK for all public companies, including PT PLN, to ensure that financial statements are presented in a consistent and transparent manner.

The Importance of Consistency in Presentation

One important aspect in PSAK is consistency in the presentation of financial statements. This consistency allows stakeholders to compare company performance from year to year. At PT PLN Medan Branch, the application of this principle can help management to identify the trends and patterns that exist in the company's operational and finance activities. This becomes very vital in dealing with various challenges and market changes. For instance, by analyzing the financial statements, management can identify areas where the company can improve its performance and make more informed decisions.

Useful Information for Various Parties

The financial statements resulting from the application of PSAK are not only beneficial for management, but also for other interested parties. Investors can use this report to assess the potential for investment profits and make more informed decisions. Likewise, shareholders can calculate the ratio of liquidity, profitability, and solvency of the company to assess PT PLN's financial health. Additionally, lenders and suppliers can use the financial statements to assess the company's creditworthiness and payment history.

Accountability and Transparency

In the context of accountability, the application of PSAK supports the principle of transparency that is needed by the community and the government. By providing clear and accurate information, PT PLN Medan Branch can show that they manage public resources well and responsibly. This is very important considering that this country's electricity company operates using public funds and has a significant impact on the community. The transparency provided by PSAK also helps to build trust between the company and its stakeholders, which is essential for long-term success.

Benefits of Applying PSAK

The application of PSAK at PT PLN Medan Branch has several benefits, including:

Improved transparency: By providing clear and accurate information, PT PLN can show that they manage public resources well and responsibly.
Increased public confidence: The application of PSAK increases public confidence in PT PLN's financial management, which is essential for long-term success.
Better decision-making: The financial statements resulting from the application of PSAK provide useful information for management and other stakeholders, enabling them to make more informed decisions.
Compliance with regulations: The application of PSAK ensures that PT PLN meets legal obligations and regulatory requirements.

Conclusion

The application of financial accounting standards statements in the presentation of financial statements at PT PLN (Persero) North Sumatra Region Medan Branch is an important step in increasing transparency and accountability. Through financial statements compiled in accordance with PSAK, PT PLN can not only meet information needs for management and other stakeholders, but also increase public confidence in its financial management. Therefore, it is important for every company to always pay attention to the application of accounting standards in every operational aspect.

Recommendations

Based on the findings of this study, the following recommendations are made:

PT PLN Medan Branch should continue to apply PSAK in the preparation of financial statements.
The company should provide clear and accurate information in the financial statements.
The company should use the financial statements to make more informed decisions.
The company should increase public confidence in its financial management by providing transparent and accurate information.

By following these recommendations, PT PLN Medan Branch can ensure that its financial statements are presented in a consistent and transparent manner, which is essential for long-term success.
Frequently Asked Questions (FAQs) about the Application of Financial Accounting Standard Statements in the Presentation of Financial Statements at PT.PLN (Persero) North Sumatra Region Medan Branch

Q: What is the purpose of financial statements in a company?

A: Financial statements are the final result of the accounting process that is prepared and presented periodically to stakeholders. Through this report, management shows its accountability for the resources that have been entrusted, while providing an overview of company performance.

Q: Who are the stakeholders that need information from financial statements?

A: In general, information in financial statements is needed by two stakeholders: Internal and external parties. Internal parties consist of management and employees who are directly involved in the company's operations, function to control and carry out the company's daily activities. While external parties include investors, shareholders, lenders, suppliers, customers, government, and people who have interests in the company.

Q: What is PSAK and why is it important for PT PLN Medan Branch?

A: PSAK is a guideline provided by the Indonesian Accountant Association (IAI) to regulate the preparation of consistent and accurate financial statements. By following this standard, PT PLN not only meets legal obligations, but also increases public confidence in its financial management.

Q: What is the importance of consistency in presentation of financial statements?

A: One important aspect in PSAK is consistency in the presentation of financial statements. This consistency allows stakeholders to compare company performance from year to year. At PT PLN Medan Branch, the application of this principle can help management to identify the trends and patterns that exist in the company's operational and finance activities.

Q: Who can use the financial statements resulting from the application of PSAK?

A: The financial statements resulting from the application of PSAK are not only beneficial for management, but also for other interested parties. Investors can use this report to assess the potential for investment profits and make more informed decisions. Likewise, shareholders can calculate the ratio of liquidity, profitability, and solvency of the company to assess PT PLN's financial health.

Q: How does the application of PSAK support the principle of transparency?

A: In the context of accountability, the application of PSAK supports the principle of transparency that is needed by the community and the government. By providing clear and accurate information, PT PLN Medan Branch can show that they manage public resources well and responsibly.

Q: What are the benefits of applying PSAK at PT PLN Medan Branch?

A: The application of PSAK at PT PLN Medan Branch has several benefits, including:

Improved transparency: By providing clear and accurate information, PT PLN can show that they manage public resources well and responsibly.
Increased public confidence: The application of PSAK increases public confidence in PT PLN's financial management, which is essential for long-term success.
Better decision-making: The financial statements resulting from the application of PSAK provide useful information for management and other stakeholders, enabling them to make more informed decisions.
Compliance with regulations: The application of PSAK ensures that PT PLN meets legal obligations and regulatory requirements.

Q: What are the recommendations for PT PLN Medan Branch based on the findings of this study?

A: Based on the findings of this study, the following recommendations are made:

PT PLN Medan Branch should continue to apply PSAK in the preparation of financial statements.
The company should provide clear and accurate information in the financial statements.
The company should use the financial statements to make more informed decisions.
The company should increase public confidence in its financial management by providing transparent and accurate information.

By following these recommendations, PT PLN Medan Branch can ensure that its financial statements are presented in a consistent and transparent manner, which is essential for long-term success.