6.7 Tab SA Limited is a manufacturing company. At the beginning of the year, the com-pany's inventory balances were as follows: The company applies manufacturing overheads using a predetermined overhead rate based on machine hours. At the beginning of the year, the company estimat-ed that it would work 27000 machine hours and incur R189000 in manufacturing overhead costs. The following transactions were recorded for the year: - Raw materials purchased: R412000 - Materials requisitioned for use in production: R418000 (R390 000 direct and R28 000 indirect) - The following employee costs were incurred: direct labour R157 000; indirect labour R70 000 and administrative salaries R207000. - Selling costs: R99 000 - Factory utility costs: R13000 - Depreciation for the year was R103000, of which R95 000 was related to factory operations and R8 000 to selling and administrative activities. - Manufacturing overheads were applied to orders. The actual level of activity for the year was 26000 machine hours. - The cost of goods manufactured for the year was R747000 (before the effects of any over-or underapplied manufacturing overheads). - Sales for the year totalled R1 097000 and the costs on the job cost sheets of the goods that were sold totalled R732000 (before the effects of any over- or under-applied manufacturing overheads). - The balance in the manufacturing overheads account was closed off to cost of goods sold. Required: Prepare the appropriate journal entry for each of the items above. You may as-sume that all transactions with employees, customers and suppliers were conduct-ed in cash