Evaluations on costing and accounting of agricultural activities and a sectoral implementetion

Differences in implementation draw attention when the studies on agricultural accounting in Turkey is analyzed. This difference is about the post-closing operations such as follow-on, valuation and amortization of the agricultural products and biological assets in terms of account groups and the recognition of the sector-specific incentives. The aim of the study is to form an applicable example model in terms of costing, recognition and financial reporting in the sector of poultry which is a field with few studies within the agricultural sector. "Case Study Method" which is one of the commonly used qualitative research methods in the social sciences has been used in the study. The study consists of three sections. In the first section general information has been given about the study and literature search has been presented. In the second section, information about cost accounting concepts and methods of cost calculation has been provided by sampling in terms of agriculture sector. Then TAS (Turkish Accounting Standard) 41 – Agricultural Activities Standard has been discussed and TPL (Tax Procedural Law) has been mentioned and comparisons were made about subjects such as recognition, valuation. In the third section, inventoriable costs have been calculated with the "Cost System Consisting of Complete Cost – Normal Cost – Activity Based Cost Methods" which has been suggested as a model in an enterprise producing organic broiler in the poultry sector. Obtained results have been compared with the available conventional costing results used by the enterprise. The activities performed by the enterprise within the followed period have been accounted, compared and evaluated in terms of the effects on financial tables according to TAS 41 and TPL. As a result of the study, first, it has been emphasized that more correct information has been obtained on costing by using ABCM (Activity Based Cost Method). Besides, many positive results have been obtained which are in favour of the enterprise such as records performed according to TAS 41 with the aforementioned application have suggested more effective results on the financial statements than the records performed according to TPL in terms of accounting. Keywords: TAS 41, IAS 41, Valuation of Biological Assets, Broilers, Activity Based Cost Method.