The Accounting Treatment Of Defective And Damaged Products In Determining The Cost Of Production In Sheina Batik Jember

Abstract

This objective of this research is to analyze the accounting treatment of these costs in the context of the cost of production. This research collects primary and secondary data through interviews and documentation. The collected data is analyzed descriptively and qualitatively, with a focus on in-depth explanations regarding the accounting treatment of defective and damaged in determining the cost of production. This analysis will present research data in the form of numbers and be preented in a comprehensive narrative form. The result of this study indicated that the accounting treatment for the costs of defective and damaged products is carried out by reselling these products, thereby reducing losses due to defective and damaged products at Sheina Batik Jember. Additionaly, based on the calculation of losses from defective products recirded at Rp 5.682.400 and sold at a price of Rp 4.600.000, the losses incurred amount to Rp 1.082.400. Meanwhile, losses for damaged products reach Rp 3.600.000.