Seminarian, I'd like to know how to do this, too. I currently burn each CD twice -- once for FLAC/slimserver and once for iTunes.
Also, consider seeing your grandmother as much as possible. My stepfather went into hospice and passed away a scant few weeks later. Now, he had an aggressive, incurable cancer, but my mother took him to the hospital assuming he'd be there a few days, and he never made it out. Also, go see your grandmother early in this process. I went soon after my stepfather went into the hospital, and he knew exactly who I was and was overjoyed to see me. I was able to bring a picture of our tiny baby (from my wife's first ultrasound). I stayed as many days as I could. After that time, my mother told me that he went downhill quickly, to the point where he could no longer even recognize her.
Anyway, I'm sorry to hear about your grandmother.