Gold Nest Company of Guandong, China, is a family-owned enterprise that makes birdcages for the South China market. A popular pastime among older Chinese men is to take their pet birds on daily excursions to teahouses and public parks where they meet with other bird owners to talk and play mahjong. A great deal of attention is lavished on these birds, and the birdcages are often elaborately constructed from exotic woods and contain porcelain foeding bowls and silver roosts. Gold Nest Company makes a broad range of birdcages that it sells through an extensive network of street vendors who receive commissions on their sales. The Chinese currency is the renminbi, which is denoted by Rmb. All of the company's transactions with customers, employees, and suppliers are conducted in cash; there is no credit. The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct labor cost. At the beginning of the year, it was estimated that the total direct labor cost for the year would be Rmb 151,500 and the total manufacturing overhead cost would be Rmb 249,975. At the beginning of the year, the inventory balances were as follows: Raw Materials Work in Process Finished Goods Rmb 10,600 Rmb 10,300 Rmb 8,100 During the year, the following transactions were completed: a. Raw materials purchased for cash, Rmb 260,000 b. Raw materials requisitioned for use in production, Rmb 231,500 (materials costing Rmb 220,400 were charged directly to jobs, the remaining materials were indirect) C. Costs for employee services were incurred as follows: Direct labor Indirect labor Sales commissions Administrative salaries Rmb 65,900 Rmb 60,400 Rmb 19.900 Rmb 50, 100 d. Rent for the year was Rmb 18,700 (Rmb 13,700 of this amount related to factory operations, and the remainder related to selling and administrative activities). e Utility costs incurred in the factory, Rmbo,100. 1. Advertising costs incurred, Rmb 15,600. g. Depreciation recorded on equipment, Rmb25,100. (Rmb 20.000 of this amount was on equipment used in factory operations, the remaining Rmb5,100 was on equipment used in selling and administrative activities.) h. Manufacturing overhead cost was applied to jobs, Rmb 2. Goods that had cost Rmb310,500 to manufacture according to their job cost sheets were completed Sales for the year totaled Rmb498,400. The total cost to manufacture these goods according to their job cost sheets was Rmb308,200. UM IU NHD Sign In your response.) Raw Materials (Click to sect) Beg. Bal (Click to select) End. Bal Work In Process Beg. Bal (Click to select) (Click to select) (Click to select) (Click to select) End. Bal Finished Goods (Click to select) Beg. Bal (Click to select) End. Bal Manufacturing Overhead (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) End. Bal Cost of Goods Sold (Click to select) Requirement 3: (a) Is Manufacturing Overhead underapplied or overapplied for year? (Click to select) (b)Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold. (Omit the "Rmb" sign in your response.) General Journal Debit Credit (Click to select) (Click to select) Requirement 4: Prepare an income statement for the year. (Input all amounts as positive values. Omit the "Rmb" sign in your response.) Gold Nest Company Income Statement (Click to select) Rmb (Click (Click to select) (Click to select) Selling and administrative expenses: (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) (Click to select) Rmb