Using cameras to monitor actual inventory

System and method for monitoring inventory. Inventory items are positioned between a camera and a surface having an optically identifiable and distinct characteristic. The camera obtains an image of the inventory items present, any exposed portion of the surface, or both. The amount of the exposed surface is used to determine an amount of the inventory items that are present or missing. Furthermore, the optically identifiable characteristic may be a uniform characteristic, such as color or texture, or a set of discrete elements, such as stickers, barcodes, structural features of the shelf, a pattern of lines or shapes, or combinations thereof. Optionally, the optically identifiable characteristic is unique to the location of the shelf associated with the inventory items. Inventory or non-inventory items incorrectly positioned over the exposed surface may be excluded from the amount of the expected inventory item being determined if the item does not match the visual attributes of the expected inventory item. The camera may be fixed or movable and preferably provides digital images to a computer system having a computer readable medium with program products for analyzing the image and providing inventory reports.