2] Chen Manufacturing uses backush costing. Chen has the following information for the most recen' month of activity: Purchase of direct materials $705,000 Direct materials used $705,000 Conversion cost incurred $1,450,000 Direct materials standard cost 20 per unit Conversion cost at standard 40 per unit Units produced 35,000 units Units sold 33,000 units Required: 1. Prepare the journal entries for purchase of materials, conversion costs, the completion of product during the month, the sale of product, and the closing entries for conversion costs and material cost: 2. What is the nal amount for cost of goods sold? 3. Under what conditions is backush costing used in practice