Cost of goods sold

[kbcouch]

I purchased inventory throughout 2021, I deducted from that inventory and posted an ending inventory balance of $3,000.  The next screen asks for cost of purchase, I would not put in my original purchase amount of $4,500 would I?  If I leave it blank, it shows on my main screen that I haven't even started the inventory section.  If I put in the amount it shows me a gross profit amount.

[Anonymous_]

You would enter the price you paid for the inventory you purchased during the 2021 tax year.

[Anonymous_]

Note that if you started the business during 2021, you would have a zero as your beginning inventory.

[kbcouch]

Got it, now I see what it does!