The Performance of MSMEs: Measured by Accounting Knowledge and Use of Accounting Information

Abstract

This research is a quantitative research with data collection techniques using the questionnaire method given to 60 Micro, Small and Medium Enterprises (MSMEs) in Padang Lawas Regency, North Sumatra Province. This study aims to find out whether Accounting Knowledge and Accounting Information have a significant influence on the Performance of MSMEs in Padang Lawas Regency, especially in Lubuk Barumun District. The results of the study found that Accounting Knowledge and the Use of Accounting Information have a significant effect on the Performance of MSMEs. The better the accounting knowledge possessed by MSME managers, the better the performance will be. MSMEs that have separated business finance from personal finance will find it easier to measure the success of their business. The use of accounting information is proven to improve the performance of MSMEs, especially information on inventory and operational expenses, so that MSME managers who have accounting knowledge will be able to manage business finances

 

Keywords: Accounting Knowledge, Use of Accounting Information and MSME performance