Analysis of the Financial Condition West Java Provincial Government, Indonesia

https://doi.org/10.22146/jkap.37046

Sofik Handoyo(1*), Syaiful Anas(2), Ivan Yudianto(3)

(1) Universitas Padjadjaran
(2) Universitas Padjajaran
(3) Universitas Padjajaran
(*) Corresponding Author

Abstract


The purpose of the study is to assess the financial condition of 18 districts and 9 municipals in West Java Province. Assessing the financial condition was based on a 10 (ten) point financial ratio model developed by Kenneth Brown. Data on financial ratios for the 2013-2016 period was obtained from audited financial reports published by the west java provincial supreme auditor. Analysis of financial ratios was based on descriptive statistics and conducting Independent t-Test analysis. Research results showed that both district and municipal governments in West Java Province have a good financial condition. However, the performance of financial condition score for district governments shows a downward trend. In general, there is significant difference in the financial condition of district governments and municipal governments. In general, municipal governments showed better financial condition than district governments.


Keywords


district; financial condition; financial ratio; local government; municipal

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DOI: https://doi.org/10.22146/jkap.37046

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