If I purchase inventory for my eBay business at thrift stores, how will the value of this inventory evaluated for a Chapter 7?
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If I purchase inventory for my eBay business at thrift stores, how will the value of this inventory evaluated for a Chapter 7?
Is it based of my eBay list prices for the items or the prices I paid for them at the thrift stores?
Asked on October 23, 2012 under Bankruptcy Law, Colorado
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 12 years ago | Contributor
The value of the items of your inventory with respect to the Chapter 7 filing you have written about is based upon your actual cost of the items and not the resale value. Such is the acceptable accounting method for valuing items for resale.
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