Ashlee Company records standard costs and variances in its accounts.

Required:

Prepare the journal entry for a purchase of $4,500$ widgets at $$7\mathrm{.}45$ per unit, assuming widgets have a standard cost of $$7\mathrm{.}15$ per unit. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for spaces or journal explanations. Every line on a journal page is used for debit or credit entries. Do not add explanations or skip a line between journal entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. CHART OF ACCOUNTS

Ashlee Company

General Ledger

ASSETS

$110$ Cash

$121$ Accounts Receivable

$125$ Notes Receivable

$126$ Interest Receivable

$130$ Materials

$133$ Work in Process

$136$ Factory Overhead

$138$ Finished Goods

$141$ Supplies

$142$ Prepaid Insurance

$181$ Land

$190$ Office Equipment

$191$ Accumulated Depreciation$-$Office Equipment

$192$ Machinery

$193$ Accumulated Depreciation$-$Machinery

$194$ Factory

$195$ Accumulated Depreciation$-$Factory

LIABILITIES

$210$ Accounts Payable

$221$ Utilities Payable

$231$ Notes Payable

$236$ Interest Payable

$251$ Wages Payable

EQUITY

$311$ Ashlee, Capital

$312$ Ashlee, Drawing

REVENUE

$410$ Sales

$610$ Interest Revenue

EXPENSES

$510$ Cost of Goods Sold

$520$ Direct Materials Quantity Variance

$521$ Direct Materials Price Variance

$522$ Direct Labor Time Variance

$523$ Direct Labor Rate Variance

$530$ Wages Expense

$532$ Insurance Expense

$533$ Utilities Expense

$534$ Supplies Expense

$560$ Depreciation Expense$-$Office Equipment

$561$ Depreciation Expense$-$Machinery

$562$ Depreciation Expense$-$Factory

$590$ Miscellaneous Expense

$710$ Interest Expense