If the differences are big, and the inventory is on hand, you can do adjustments to re-value the stock (and correct current cost/expense amounts).  Otherwise, the Purchase Variance account should be a cost/expense type, so you really shouldn't need to do anything.

If the differences are big, and the inventory is on hand, you can do adjustments to re-value the stock (and correct current cost/expense amounts).  Otherwise, the Purchase Variance account should be a cost/expense type, so you really shouldn't need to do anything.

Thank you for all the replies. Much appreciated. Customer requested report every month to see if any variances are large enough where an adjustment is warranted in inventory. First time Sage user and it has always been an issue on their old ERP.