Inventory Accounting Methods are a critical factor in managing MSMEs, especially for Sotong Silvi, a manufacturing company that produces and markets fried sotong and fried ice cream. This article discusses the implementation of the FIFO (First-In-First-Out) method in managing inventory at the SOTONG SILVI MSME. Inventories at MSMEs are divided into raw materials and finished goods, with spices and colors playing an important role in the fried cuttlefish production process. Inventory objectives involve reducing the risk of material price increases, anticipating changes in demand, and reducing the risk of expired merchandise. This article provides insight into the application of FIFO in inventory valuation, where goods entered or produced first are considered first sold. The use of this method reflects the desire of MSME SOTONG SILVI to maintain product quality and reduce the risk of loss due to unsold stock. In addition, this article suggests optimizing inventory control, training for FIFO management, accounting system integration, monitoring inventory turnover, adjusting sales costs, periodic internal audits, customer education, and partnerships with suppliers as steps to increase the effectiveness of using the FIFO method in management Silvi Cuttlefish MSME supplies. It is hoped that the application of this method will help increase the accuracy of inventory recording, operational efficiency and sustainability of the Silvi Cuttlefish MSME business.