IMPROVEMENT OF INVENTORY ACCOUNTING IN SMALL AND MEDIUM-SIZED ENTERPRISES IN THE CONTEXT OF THE TRANSITION TO INTERNATIONAL FINANCIAL REPORTING STANDARDS FOR SMALL AND MEDIUM-SIZED ENTERPRISES

Abstract

The research work is devoted to international practice of organization and maintenance of accounting in small and medium-sized enterprises. In this part, Development of fixed asset accounting: under the requirements of International Financial Reporting Standards, Improvement of inventory accounting in small and medium-sized enterprises in the context of the transition to International Financial Reporting Standards for Small and Medium-Sized Enterprises and Components of accounting policy and the mechanism of their implementation in Small and Medium-Sized Businesses were analyzed. Accounting is greatly simplified when using computer equipment in warehouse accounting. Analytical accounts are grouped by material groups, storage locations, financially responsible persons, by synthetic accounting accounts and subaccounts. They use accounts of analytical accounting to control the storage and movement of inventories, their evaluation, comparison with warehouse accounting data. The importance and laboriousness of conducting quantitative analytical accounting of inventories has necessitated the search for more rational methods of accounting for inventories. The warehousing of most enterprises is quite complex and consists of a network of warehouses with special devices and equipment for moving, handling, weighing, measuring, etc. The introduction of computer accounting in the process of processing primary documents may be one of the most effective ways to improve primary accounting. To ensure the safety of inventories, proper acceptance, storage, and distribution of valuables, it is important that the enterprise has a sufficient number of warehouses equipped with weights and measuring instruments. The methodology for organizing the accounting of material resources involves the choice of several methods. To choose a method, it is necessary to analyze the consumption of materials. The classifier should fully systematize the various materials available in warehouses. It should ensure the efficiency and reliability of quantitative accounting in the warehouse. Accounting principles are observed or not observed, which should be reported in the financial statements. For example, in the reporting year, the enterprise ceased or plans to cease its activities in the future (deviation from the going concern principle) That is, the continuity principle relates to past and/or future events and does not affect accounting in any way. The concept of "accounting procedures" is not disclosed in regulatory documents. Most researchers understand accounting procedures as a set of works and methods for their implementation. In practice, many procedures are used in accounting and reporting, but their disclosure is unlikely to be of interest to qualified users of financial statements. Accounting practice is a set of accounting procedures at a particular enterprise, institution, organization that provides accounting, as well as the preparation of financial and management reporting. The inclusion in the definition of accounting policy and accounting rules, which generally relate to the organization of accounting, is not justified. Small and medium-sized enterprises (SMEs) are often under-represented in the accounting standards developed for larger companies. The UN and OECD have recognized the need to develop special accounting standards for SMEs, rather than requiring them to comply with IFRs that are primarily intended for large firms. Keywords: small and medium enterprises, international financial standards, inventory accounting, accounting.