Improving the Quality of Financial Statements through the Preparation of Balance Sheets and Inventory Management at Karmel Jogja Catholic Religious Store MSME Based on Multiple Sales Accounts

Abstract

Micro, Small, and Medium Enterprises (MSMEs) play a significant role in Indonesia's economy; however, many still encounter challenges in preparing comprehensive financial statements and managing inventory effectively, particularly those operating through multiple online marketplace accounts. This community service program aimed to improve the quality of financial reporting at the Karmel Jogja Catholic Religious Store MSME through assistance in preparing a simple statement of financial position (balance sheet) and developing a structured inventory management system. The program employed three sequential stages: observation, assistance, and evaluation. Initial observations revealed that the MSME prepared monthly income statements but had not yet developed a balance sheet, while inventory records had not been updated since 2023 and were managed using a single shared stock database across five marketplace accounts. The assistance activities focused on identifying and classifying assets, liabilities, and equity, preparing a simple balance sheet based on SAK EMKM principles, and developing a manual inventory recording format accompanied by practical stock opname guidance. The evaluation results demonstrated substantial improvements in the partner's understanding of financial reporting, the successful preparation of a simple balance sheet, the availability of a structured inventory recording system, and more accurate inventory documentation based on storage locations. These outcomes indicate that systematic financial reporting assistance combined with improved inventory management can enhance the quality of MSME financial information, strengthen asset control, and support more effective business decision-making and sustainable business development.