20-27 Backflush costing and JIT production. Grand Devices Corporation assembles ers that have scaled-down capabilities of laptop computers. Each handheld comoueeld comme handheld compur car 2. 3. assemble. Grand Devices uses a JIT production system and a backflush costing system wakes6 hours t points: Purchase of direct materials Completion of good finished units of product Sale of finished goods a There are no beginning inventories of materials or finished goods and no beginning or an process inventories. The following data are for August 2017: ding work-in. Direct materials purchased $2,958,000Conversion costs incurred $777 600 Direct materials used $2,937,600 Conversion costs allocated $806,400 Grand Devices records direct materials purchased and conversion costs incurred at actual costs. it has no direct materials variances. When finished goods are sold, the backflush costing system "pulls through standard direct materials cost ($102 per unit) and stendard conversion cost ($28 per unit). Grand Devices produced 28,800 finished units in August 2017 and solo 28 400 units. The actual direct materials cost per unit in August 2017 was $102, and the actual conversion coci per unit was $27 Prepare summary journal entries for August 2017 (without disposing of under-or overallocated conver sion costs) 1. 2. Post the entries in requirement 1 to T-accounts for applicable Materials and In-Process Inventory Control, Finished Goods Control, Conversion Costs Control, Conversion Costs Allocated, and Costd Goods Sold. 3. Under an ideal JIT production system, how would the amounts in your journal entries difer fiom in requirement 1