20-33 Backflush costing and JIT production. The Acton Corporation manufactures electrical meters. For August, there were no beginning inventories of direct materials and no beginning or ending work-in- process. Acton uses a JIT production system and backflush costing with three trigger points for making entries in the accounting system: Purchase of direct materials-debited to Inventory: Materials and In-Process Control - Completion of good finished units of product-debited to Finished Goods Control Sale of finished goods Acton's August standard cost per meter is direct material, $25; and conversion cost $20. The follow- ing data apply to August manufacturing: Direct materials purchased $550,000 Conversion costs incurred $440,000 Number of finished units manufactured 21,000 Number of finished units sold 20,000 Required 1. Prepare summary journal entries for August (without disposing of under- or overallocated conversion costs). Assume no direct materials variances. 2 Post the entries in requirement 1 to T-accounts for Inventory: Materials and In-Process Control, Finished Goods Control, Conversion Costs Control, Conversion Costs Allocated, and Cost of Goods Sold. 20-34 Backflush, two trigger points, materials purchase and sale (continuation of Problem 20-33). Assume that the second trigger point for Acton Corporation is the sale---rather than the comple- tion of finished goods. Also, the inventory account is confined solely to direct materials, whether these materials are in a storeroom, in work-in-process, or in finished goods. No conversion costs are inventoried. They are allocated to the units sold at standard costs. Any under- or overallocated conversion costs are written off monthly to Cost of Goods Sold. Required 1. Prepare summary journal entries for August, including the disposition of under or overallocated con- version costs. Assume no direct materials variances. 2. Post the entries in requirement 1 to T-accounts for Inventory Control, Conversion Costs Control, Con- version Costs Allocated, and Cost of Goods Sold