Inventory Nightmare

Problem: Client bought business in October & purchased inventory $19,000.00. Inventory set up incorrectly, so to prepare taxes for the end of the year we put it all under non-inventory and then adjusted for cogs (financials not fixed) Not really sure how much was left over.  On January 2, 2011 entered inventory that was on hand in the amount of approximately $22,000 according to opening balance equity. 

Any suggestions as to how to fix the loss of -29,000 due to all of the inventory being listed as non inventory?  Could we use the inventory entered on 01-02-2011 minus anything purchased as our ending balance? I also need to take the $22,000 out of opening balance equity?

I'm open to any suggestions... Help please