<![CDATA[General Background: Small and Medium Enterprises require an adequate cost accounting system to control production costs and determine accurate cost of production. Specific Background: UMKM Kaoz Kaoz, a T-shirt printing business in Sidoarjo, has implemented cost recording but still relies on manual bookkeeping through Microsoft Excel. Knowledge Gap: Previous studies indicate that many MSMEs still face difficulties in applying systematic cost accounting and accurately determining production costs, while the specific implementation at UMKM Kaoz Kaoz requires further examination. Aims: This study analyzes the application of a cost accounting system for controlling and determining the cost of production at UMKM Kaoz Kaoz. Results: Using a qualitative case study approach, primary data were collected through direct observation and interviews with the owner, finance staff, and production staff. The findings show that the existing recording system remains simple and is not yet fully adequate. Several production costs were not appropriately allocated, including sewing and thread costs for plain T-shirts and direct labor and equipment depreciation for screen-printed T-shirts. Novelty: The study provides a case-based analysis of cost accounting practices and production cost determination at UMKM Kaoz Kaoz. Implications: Improving the accounting system, human resource competence, and allocation of production costs can support more accurate production cost determination and pricing decisions. Key Findings Highlights The business relies on Microsoft Excel for bookkeeping. Sewing, thread, labor, and equipment depreciation require proper treatment. Periodic evaluation supports raw-material and pricing control. Keywords: Cost Accounting System, Production Cost, Cost Control, Small And Medium Enterprises, Cost Of Production]]>
