Analysis Of The Ratio Of Compatibility Between Capital Expenditure, Operational Expenditure, Effectiveness Ratio, And Efficiency Ratio Of Regional Original Revenue Of The Bengkulu City Government

This study analyzes financial performance in terms of the ratio of compatibility of capital expenditure, operational expenditure and the effectiveness ratio and efficiency ratio of local revenue of Bengkulu city from 2017 to 2022. Background Problems: Financial ratios are activities that compare numbers in financial statements by dividing one number by another. Financial ratios are used to evaluate the financial condition and performance of the company. To analyze the financial performance of local governments in managing finances is to conduct a financial ratio analysis of the APBD. The following ratio analysis that can be used in this study includes the Coherence Ratio, Effectiveness Ratio and Efficiency Ratio. Novelty: This study is different from the research of previous researchers because this study does not only cover one ratio in this study covering three ratios, namely the compatibility ratio, effectiveness ratio and efficiency ratio. Research Methods: The method used in this research is a qualitative research method with a descriptive approach. The data collection technique used by the author is by conducting documentation. Data collection in the form of APBD realization published by the Directorate General of Balance and Finance of the city of Bengkulu. Finding/Results: The results of the research that have been carried out show that in general the regional financial performance of Bengkulu City in 2017-2022 is still relatively low, this can be seen from several financial ratio calculations used. In addition, dependence on allocation funds from the central government is an inhibiting factor so that it becomes an obstacle in regional financial management. Conclusion: The Bengkulu City Regional Government should increase PAD to make it more efficient, rotate employees, and optimize the budget and revenue realization according to the authority and potential of the existing original region.