Abstract


This study aims to empirically tested factors that affect transparency on financial statements namely presentation of financial statements, qualitative characteristics, accessibility, internal control, external pressure, management commitment, and human resources for finance in the local government organization of Magelang City. The population in this study were all employees in the local government organization of Magelang City with purposive sampling technique as many as 109 respondents. Data analysis techniques are multiple regression analysis and hypothesis testing. R2 test results show the amount of adjusted R2 value of 0.730 (73%). The results of the study found that qualitative characteristics, accessibility, and external pressures had a positive effect on the transparency of financial statements. While the presentation of financial statements, internal control, human resources, and management commitment does not affect the transparency of local government financial reports.

Keywords: Transparency, financial reports, local government