BASIC COST ACCOUNTING TRAINING TO IMPROVE FINANCIAL LITERACY OF TEENS AT THE BENIH KEBAIKAN MEDAN

Abstract

Abstract
Financial literacy is a crucial life skill, especially for adolescents in orphanages
preparing for independence after school. However, understanding financial
management, particularly the basic concepts of cost accounting for small
businesses, is often overlooked. This community service activity aims to improve
the financial literacy of 30 adolescents (aged 12–18) at the Benih Kebaikan Polonia
Orphanage in Medan, through basic cost accounting training. The methods used
included interactive lectures, production cost calculation simulations, and
evaluations through pre- and post-tests. The results showed a significant increase
in participants' understanding of the difference between fixed and variable costs, as
well as how to determine a reasonable selling price. The adolescents in the
orphanage now have a better foundation in managing their personal finances and
are equipped to become independent entrepreneurs in the future.
Keywords:Cost Accounting, Financial Literacy, Youth, Orphanages.