Financial Statement Analysis of Salafiyah Nurul Muhaasabah Wal Mahabbah Bitaharil Imam Malang Islamic Boarding School Foundation Based on ISAK 35

Abstract

This study analyzes the implementation of Interpretation of Financial Accounting Standards (ISAK) No. 35 concerning the presentation of financial statements for non-profit oriented entities at the Pondok Pesantren Salafiyah Nurul Muhaasabah Wal Mahabbah Bitaharil Imam Foundation in Tirtoyudo District, Malang Regency. ISAK No. 35 requires non-profit entities to present five components of financial statements: a statement of financial position, a statement of comprehensive income, a statement of changes in net assets, a statement of cash flows, and notes to the financial statements. In practice, many Islamic boarding school foundations still rely on simple cash-based recording. This research uses a qualitative descriptive method with a case-study approach. Data were collected through in-depth interviews with three key informants (the foundation chairperson, treasurer, and financial administrator), observation, and documentation, and were analyzed using an interactive model of data reduction, data display, and conclusion drawing/verification. The results show that the foundation has not yet implemented ISAK No. 35; its financial reports are still limited to a simple recapitulation of cash inflows and outflows, mainly due to the management's limited accounting competence. This non-compliance weakens the transparency and accountability of the foundation's financial management toward its stakeholders, including students' guardians, donors, and the government.