Abstract
This paper investigates the application range of agricultural accounting.
First, the accounting policies in grape cultivation and wine manufacturing are categorized into types.
Second, a case study is conducted to discuss the categories. Third, the reasons for their differences are discussed.
The conclusions of this paper are as follows.
First, there is a difference in accounting processing between winemaking and viticulture. Winemakers apply full costing to winemaking but not to viticulture.
Second, winemakers apply full costing to winemaking because
1)winemaking takes more than one year,
2)wines keep for a long time,
3)tax accounting claims full costing,
4) managers have weak incentives to reduce inventory.
