The Application of the Farm Accounting Based on Sufficiency Economy Philosophy (SEP) in Order to Achieve Sustainable Development

Abstract

. The study of social and environmental accounting reveals a lot of critical global problems and need to developing an alternative approach to face economic and social development. This study aimed to review the spiritual-socio-cultural-economy values and criticize the application of Farm accounting cost. The concept reference of the study is based on Sufficiency Economy Philosophy paradigm combined with Laku Prihatin paradigm of Javanese culture, the main principles to create Sufficiency Economy Philosophy are Moderation, Reasonableness and Self Immunity. The study method used is critical ethnomethodology with a qualitative approach. The research site is in the Badegan area, Ponorogo Regency. The study results showed that 1) The concept of financing accounting in the Farm accounting does not represent the level of welfare of farmers, the welfare of farmers not oriented to material and (economic) growth but substance equitable dynamic values by a just relationship with God, society and the natural environment, 2) The concept of financing accounting should be in accordance with spiritual-socio-cultural values, by applying the cost of production with a Sufficiency Economy Philosophy and Net Farm Income (NFI) that is in favor of the farmers, 3) The principle of a Sufficiency Economy Philosophy provides good results for society in physical, social and economic aspects.