topic I have a craft business where I have inventory. The question asked, How do you account for inventory? Cost, Lower Than Cost or Market Value, Other in Business & farm https://ttlc.intuit.com/community/business-taxes/discussion/i-have-a-craft-business-where-i-have-inventory-the-question-asked-how-do-you-account-for-inventory/01/568925#M22180 Can you explain the cost method in detail for a craft business with inventory, please? Wed, 05 Jun 2019 18:58:13 GMT bridget14-41 2019-06-05T18:58:13Z I have a craft business where I have inventory. The question asked, How do you account for inventory? Cost, Lower Than Cost or Market Value, Other https://ttlc.intuit.com/community/business-taxes/discussion/i-have-a-craft-business-where-i-have-inventory-the-question-asked-how-do-you-account-for-inventory/01/568925#M22180 Can you explain the cost method in detail for a craft business with inventory, please? Wed, 05 Jun 2019 18:58:13 GMT https://ttlc.intuit.com/community/business-taxes/discussion/i-have-a-craft-business-where-i-have-inventory-the-question-asked-how-do-you-account-for-inventory/01/568925#M22180 bridget14-41 2019-06-05T18:58:13Z The Cost method of valuing inventory is based on the actu... https://ttlc.intuit.com/community/business-taxes/discussion/the-cost-method-of-valuing-inventory-is-based-on-the-actu/01/568934#M22181 <P>The Cost method of valuing inventory is based on the actual cost of buying the items or buying materials for making the items that you carry in inventory.&nbsp; In other words, <B>cost basis would be what you paid for those items.</B></P><P>Lower of Cost or Market compares the cost (defined above) the market value of each item.&nbsp;<B> If the market value is less than the cost, you would adjust the value of the item to equal market value.</B><BR /></P> Wed, 05 Jun 2019 18:58:15 GMT https://ttlc.intuit.com/community/business-taxes/discussion/the-cost-method-of-valuing-inventory-is-based-on-the-actu/01/568934#M22181 KatherineC 2019-06-05T18:58:15Z