diff --git a/src/pages/sponsors/sponsor-form-item-list-page/components/__test__/inventory-popup.test.js b/src/pages/sponsors/sponsor-form-item-list-page/components/__test__/inventory-popup.test.js
new file mode 100644
index 000000000..3790d39f3
--- /dev/null
+++ b/src/pages/sponsors/sponsor-form-item-list-page/components/__test__/inventory-popup.test.js
@@ -0,0 +1,166 @@
+import React from "react";
+import { screen } from "@testing-library/react";
+import userEvent from "@testing-library/user-event";
+import { renderWithRedux } from "../../../../../utils/test-utils";
+import InventoryPopup from "../inventory-popup";
+
+jest.mock("../../../../../actions/inventory-item-actions", () => ({
+  getInventoryItems: jest.fn(() => ({
+    type: "RECEIVE_INVENTORY_ITEMS",
+    payload: {
+      response: {
+        data: [
+          {
+            id: "123",
+            code: "AAA",
+            name: "My Item",
+            early_bird_rate: 1000,
+            standard_rate: 1000,
+            onsite_rate: 1000,
+            is_archived: false
+          },
+
+          {
+            id: "456",
+            code: "AAAA",
+            name: "My Item 2",
+            early_bird_rate: 1000,
+            standard_rate: 1000,
+            onsite_rate: 1000,
+            is_archived: false
+          }
+        ]
+      },
+      current_page: 1,
+      total: 2,
+      last_page: 1
+    }
+  }))
+}));
+
+describe("InventoryPopup", () => {
+  it("check if title is being rendered", async () => {
+    const formId = "AAA";
+    const open = true;
+    const onClose = jest.fn();
+
+    const inventoryItems = {
+      inventoryItems: [],
+      term: 1,
+      order: 1,
+      orderDir: "A",
+      currentPage: 1,
+      perPag: 3,
+      totalInventoryItems: 2
+    };
+
+    renderWithRedux(
+      <InventoryPopup formId={formId} open={open} onClose={onClose} />,
+      {
+        initialState: {
+          currentInventoryItemListState: {
+            inventoryItems
+          }
+        }
+      }
+    );
+
+    const node = screen.getByText(
+      "sponsor_form_item_list.add_from_inventory.title"
+    );
+    expect(node.textContent).toBe(
+      "sponsor_form_item_list.add_from_inventory.title"
+    );
+  });
+
+  it("check if close button calls close callback", async () => {
+    const formId = "AAA";
+    const open = true;
+    const onClose = jest.fn();
+
+    const inventoryItems = {
+      inventoryItems: [],
+      term: 1,
+      order: 1,
+      orderDir: "A",
+      currentPage: 1,
+      perPag: 3,
+      totalInventoryItems: 2
+    };
+
+    renderWithRedux(
+      <InventoryPopup formId={formId} open={open} onClose={onClose} />,
+      {
+        initialState: {
+          currentInventoryItemListState: {
+            inventoryItems
+          }
+        }
+      }
+    );
+
+    const user = userEvent.setup();
+    const node = screen.getByTestId("CloseIcon");
+    await user.click(node);
+
+    expect(onClose).toHaveBeenCalledTimes(1);
+  });
+
+  it("check if close button clears selected rows", async () => {
+    const formId = "AAA";
+    const open = true;
+    const onClose = jest.fn();
+
+    renderWithRedux(
+      <InventoryPopup formId={formId} open={open} onClose={onClose} />,
+      {
+        initialState: {
+          currentInventoryItemListState: {
+            inventoryItems: [
+              {
+                id: "123",
+                code: "AAA",
+                name: "My Item",
+                early_bird_rate: "100",
+                standard_rate: "100",
+                onsite_rate: "100",
+                hasImage: false,
+                images: []
+              },
+              {
+                id: "456",
+                code: "AAAA",
+                name: "My Item",
+                early_bird_rate: "100",
+                standard_rate: "100",
+                onsite_rate: "100",
+                hasImage: false,
+                images: []
+              }
+            ],
+            term: "",
+            order: "",
+            orderDir: "1",
+            currentPage: 1,
+            perPage: 10,
+            totalInventoryItems: 2
+          }
+        }
+      }
+    );
+
+    const user = userEvent.setup();
+
+    const checkboxNode = await screen.findAllByRole("checkbox");
+    await user.click(checkboxNode[0]);
+
+    const textNode = await screen.findByText("1 items selected");
+    expect(textNode.textContent).toBe("1 items selected");
+
+    const node = screen.getByTestId("CloseIcon");
+    await user.click(node);
+
+    const textNode2 = screen.getByText("0 items selected");
+    expect(textNode2.textContent).toBe("0 items selected");
+  });
+});
diff --git a/src/pages/sponsors/sponsor-form-item-list-page/components/inventory-popup.js b/src/pages/sponsors/sponsor-form-item-list-page/components/inventory-popup.js
index 6c5f7c8e8..6d86aa74e 100644
--- a/src/pages/sponsors/sponsor-form-item-list-page/components/inventory-popup.js
+++ b/src/pages/sponsors/sponsor-form-item-list-page/components/inventory-popup.js
@@ -45,6 +45,7 @@ const InventoryPopup = ({
   const [selectedRows, setSelectedRows] = useState([]);
 
   const handleClose = () => {
+    setSelectedRows([]);
     onClose();
   };