Hello,
I need help with understanding beginning inventory and ending inventory. Please assist.
1. Does value of inventory mean the cost I paid for at wholesale or the value of goods at retail I am selling for?
2. Let's say I started my e-commerce store in Jan 2022, and I purchased $1000 goods (the cost I paid for at wholesale) for resale in Jan 2022. During Feb and Nov, my sale increased, and I purchased $5000 more goods (the cost I paid for at wholesale) for resale. On Dec 31, 2022, my remaining inventory is $2000 (the cost I paid for at wholesale). What is Beginning Inventory and Ending Inventory in this case?
Thanks for the help.
