If I spend $100 for inventory to resell, what category do I use?

When you spend $100 on inventory that you plan to resell, you would typically categorize that transaction as "Inventory Asset" in QuickBooks Online.

Here's how to do it:

• From the QuickBooks Online dashboard, click on the "+" icon in the top right corner and select "Expense" under the "Vendors" section.

• In the "Expense" window that opens, enter the vendor name and the date of the transaction.

• Under the "Category" section, select "Inventory Asset" from the drop-down menu.

• Enter a brief description of the inventory you purchased in the "Description" field.

• Enter the amount you spent on the inventory in the "Amount" field.

• Click "Save and close" to save the transaction.

By categorizing the transaction as "Inventory Asset", you are telling QuickBooks Online that the $100 you spent is an asset that you plan to resell. When you sell the inventory, you will categorize the sale as "Sales of Product Income" or another appropriate income account, and the cost of goods sold will be automatically calculated based on the cost of the inventory you purchased.