[headbayo]

It is opening inventory because your closing inventory from the previous financial statement forms your opening inventory in the trial balance for the current year and the closing inventory value are always gotten after a stock take verification have carried out to ascertain the value of stock using lower of cost and net realization value.
The value gotten is always used as the closing stock value by debiting the closing stock in the statement of financial position and crediting the profit or loss.
This does not always comes into the trial balance because the closing inventory is always determined a day after the financial year end of the company.
(In my own opinion)

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