THE ROLE OF FINANCIAL REPORTS IN ACCOUNTING RECORDING

Khairisa Aurelia

Abstract


This study aims to analyze the role of financial statements in the accounting recording process based on the perspective of Accounting Information Systems (AIS) Theory. This study uses a qualitative approach with data collection through in-depth literature reviews, focus group discussions, and document searches related to accounting recording and financial reporting practices. The results of the study indicate that financial statements play a role not only as output but also as an evaluation and feedback tool on the quality of the accounting recording process in an accounting information system. The research findings also reveal that weaknesses in the implementation of AIS and internal controls can cause financial statements to be used symbolically, even potentially legitimizing deviant recording practices. The contribution of this study lies in strengthening AIS Theory by positioning financial statements as a reflective instrument in an accounting information system and providing a critical perspective on AIS practices in the context of developing countries.


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DOI: https://doi.org/10.3059/insis.v0i0.29377

DOI (PDF): https://doi.org/10.3059/insis.v0i0.29377.g14880

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