Contato If a company records inventory purchases at standard cost and also records purchase price variances, Prepare the journal entry for a purchase, on account, of widgets that were bought at $7.45 per unit and have a standard cost of $7.15. The total amount owed to the vendor for this purchase is $33,525. If an amount box does not require an entry, leave it blank. Materials 32.175 Direct Materials Price Variance 1,350 Accounts Payable 33.525