Implementation of Inventory Accounting Based on Financial Accounting Standards for Micro, Small and Medium Entities (SAK EMKM) in Trading Businesses in Luwu Regency

Abstract

This study aims to analyze the implementation of inventory accounting for trading goods used by UD. Tujuh Dua in accordance with the Financial Accounting Standards for Micro, Small, and Medium-sized Entities (MSMEs). Data collection methods used include documentation and interviews. The data analysis design used in this research is qualitative descriptive, which aims to describe the reality of the researched event, thus enabling the researcher to obtain objective data to understand the inventory accounting applied by UD. Tujuh Dua in Kabupaten Luwu. The results of the study indicate that the inventory recording system at UD. Tujuh Dua in Kabupaten Luwu does not adhere to the MSME Financial Accounting Standards for inventory accounting. It is recommended that UD. Tujuh Dua in Kabupaten Luwu implement an inventory recording system by creating inventory cards and financial statements recorded either manually or with computerized systems. They should also conduct thorough checks on inventory records to avoid undesired outcomes such as fraud, loss, and other disruptions.