ANALYSIS OF DAMAGED AND EXPIRED RETURN PROCEDURES AGAINST THE INTERNAL CONTROL SYSTEM OF MERCHANDISE INVENTORY AT PT XYZ

Abstract

This research is entitled "Analysis of Damaged and Expired Return Procedures on the Internal Control System of Merchandise Inventory at PT XYZ". This study aims to determine the effectiveness of damaged goods return procedures and expired goods returns on the internal control system of goods supply and to find out the effectiveness of the internal system of goods supply control at PT XYZ. This research is qualitative research with data collection techniques using interview sheets. The interview data were analyzed descriptively. The results showed that the return procedure for damaged and expired goods at PT XYZ has been implemented properly (effectively) so that it can help companies record financial reporting, make it easier for companies to find out the flow in and out of inventory and stiffen losses. Return procedures for damaged and expired goods can only help companies control inventory but cannot minimize losses. Therefore, solutions must be made to minimize damaged goods such as increasing security during the production and distribution process. To minimize the loss of expired goods, it is necessary to check the expiration period regularly and arrange goods according to the expiration date and provide discounts for goods that are close to expiration to accelerate the pace of sales. The internal control system of inventory at PT XYZ has been effectively implemented in accordance with the components identified under COSO.