Walmart, a multinational retail corporation, starts the year with an inventory valued at $500,000. Throughout the year, they purchase additional inventory worth $2,000,000. The cost of goods sold for the year amounts to $1,200,000, and by the end of the year, they have $300,000 worth of inventory remaining. Calculate the cost of goods sold for the year, and discuss how this valuation impacts Walmart's profitability and financial position.