I see that you are using the online version of TurboTax Self-Employed. SO here's a warning.
DO NOT register or pay your TurboTax fees until **AFTER** you have completed your return. If you do, then you can **NOT** clear and start over. I fully expect you will need to clear your return and start over multiple times with this being your first time reporting self-employment income. You'll find the option to clear and start over under TOOLS on the left side of your screen. If you've already registered or paid your TurboTax fees, than that option will flat out not be available.
It's also important that you work through the program the way it is designed and intended to be used. If you jump around in the program, I can guarantee you will get frustrated.
In my personal opinion, the online version of turbotax is not user friendly in any way, form or fashion for either a first time user of the program, or for someone such as yourself who is reporting SCH C business income for their first time. But if you have the patience and don't mind starting over multiple times, you'll be fine. It's not like you're gonna learn this stuff through osmosis. It takes time, patience and multiple restarts.
Now, if *you* personally are required to pay for product *before* you sell it, then you *do* carry an inventory. Otherwise, you do not.
