Chapter 10: A Closer Look on Cost Accounting Problem 3: Journal Entries The ABC Company seeks to streamline the costing system of its Manila plant. It will use a backflush costing system with three trigger points: Purchase of raw materials Completion of finished goods Sale of finished goods There are no beginning inventories. The following data pertain to August 2011: Raw materials purchase P880,000 Raw materials used 850,000 Conversion costs incurred, including direct labor cost of 422,000 P100,000 Conversion allocated to finished goods 400,000 Cost transferred to finished goods 1,250,000 Costs of goods sold 1,190,000 Required: Prepare journal entries to record the transactions under Traditional and JIT costing system. Problem 4. Tens