ENVIRONMENTAL ACCOUNTING AT BUSINESS LEVEL: A CASE STUDY

Since the last quarter of the 20th century, mass communication, technological advances in the fields of transportation and production has created environment of welfare for people as the rapid population growth has changed the dimensions of production, thus created an environment of toxic waste as a result of production. This effect, especially in last years, has come to point of destroying the ecological balance. As the companies continue their productions taking environmental measures in account, on top of regular production costs, they now have to face up to additional environment-friendly, or environment damaging costs as well. Due to the importance of this matter, researches on integration of environmental costs to regular accounting systems, has recently took place in literature. Especially the topics such as how these costs take place in accounting system, how they are classified, how they are added up to production costs pose importance to researchers and appliers. In this article, environmental costs are briefly introduced, and explained how they should take place in accounting system, and how they should be applied to the system. Application of the research has been practiced at TO-RO-NA Industry LTD, a company in accumulator sector, which is highly involved with environment polluting materials such as lead, sulphiric acid, and plastic. In the company, environmental costs are classified, and the actual value is recognized with the environmental costs. While sorting general production expenses, with adding a new slot for environmental costs, after the sorting, how much an establishment undergoes environmental costs in the aspect of general production expenses can be obtained. General production expenses are recognized classically as pre-sorting general production expenses based on the sort of expens