I work for a non-profit company and we had a clothing fund raiser this year. We received a huge amount of clothing. Normally, we would either keep the clothing or donate the rest out in the same year. This didn't happen last year. We had to store the remainder of clothing offsite and pay for a storage locker. We plan to donate or keep the rest of the clothing in 2012. How do I account for last years fundraiser since we still have clothing left over? Do I credit the FMV of the clothing to my Gift in Kind income account and debit the full amount to expense or only the portion that was kept/donated out? Any advice would be helpful.
Thank You
Kamie