Purchase Price Variance / PPV under item codes: our inventory is slow moving; was wondering if I should re-point all the variance accounts under the "Accounting" tab on the item to balance sheet inventory accounts, rather that income statement cost accounts (see picture). We are about to implement Cost Standards in production, so you don't see the actual "Purchase Price Variance" account, but my thought is point to balance sheet so that quarterly standard cost revaluations first hit the inventory adjustment account, and then we allocate / journal entry to COGS any variances on shipped products (clearing out the variance accounts below). Downside is this means my balance sheet could be building up with crap that does not get expensed monthly; upside is that my P&L does not get hit with crap that sneaks into expense/COGS too early.