Abstract
Material flow cost accounting (MFCA) is a major tool of environmental management accounting that aims for linking the environment and the economy at corporate management. In Japan METI has strongly supported MFCA promotion into Japanese companies, and more than 100 Japanese companies have introduced MFCA into their factories. In this paper, after a brief explanation of calculation method of MFCA, the applicability of MFCA is examined as a tool of production and environment management. Finally, the development of MFCA into the supply chain is explained.
