KWENTA ng K.I.T.A.: An Accounting Solutions for Sari Sari Store Owners in Pantay Matanda, Tanauan City, Batangas

Abstract

INTRODUCTION

One of the main causes of failures among small and micro enterprises is the inability of owners to keep track of their gains and losses. This is due to the entrepreneurs' lack of knowledge about financial planning and documentation (De Beers & Myers, 2014). Financial reports are certified tools that enable proprietors to make key decisions regarding the operations of their business. However, small store owners find financial reports cumbersome and go on with their operations without the use of these tools. Hence, they make business decisions without valid and reliable basis. In this study, a simple accounting process, including a tool, was introduced to selected sari-sari store owners of Brgy. Pantay Matanda, Tanauan City.

METHODS

A descriptive research design was used. Researchers assessed the prior knowledge of 59 sari-sari store owners in preparing financial statements particularly the income statement using a questionnaire. Afterwards, introduction of simple accounting process in determining income, dubbed as Kaalaman, Isulat, Tuusin, at Alamin (K.I.T.A.) was introduced to selected sari-sari store owners. The respondents were asked to adapt the process for one month. Monitoring was done by the researchers to check the accuracy of the financial data. A focus group discussion was done for the respondents' evaluation.

RESULTS

Respondents find the adaptation of K.I.T.A. as easy, practical and effective. Through K.I.T.A., respondents were able to determine their daily, weekly and monthly net income. Respondents were able to prevent unnecessary costs in order to have greater profit. Through this tool, sari-sari store owners were able to ascertain the results of operation during the period that helps the respondents to make proper financial decisions, planning and managing their finances.

DISCUSSIONS

The results highlight the importance of financial monitoring, planning and documentation in order to ensure the profitability of any business enterprise. Empowering sari-sari store owners in these business decisions will guarantee not only their success but that of the community where they belong.