Improving Accounting and Auditing of Inventories in Agricultural Clusters

Abstract

Currently, in a market economy, the procurement and acquisition of inventories is of great importance at the
initial stage of procurement. To achieve the goal of proper procurement and consumption of inventory, with further rational
use, the accounting service must contain complete, transparent information that allows monthly analysis of actions for
the procurement and acquisition of inventory. In addition, accounting data must contain information to find reserves for
reducing production costs in terms of rational acquisition of inventory items. The analysis of this article is of great importance
for effective financial management. Inventories can constitute a significant share not only of current assets, but
also of the enterprise’s assets in general. This may indicate that enterprises are experiencing difficulties with the sale of
products, violations of production technology and the choice of ineffective sales methods.