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 feeding 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 150,500 and the total manufacturing overhead cost would be rmb 248,325. at the beginning of the year, the inventory balances were as follows: raw materials rmb 10,100 work in process rmb 11,000 finished goods rmb 8,700 the year, the following transactions were completed: a. raw materials purchased for cash, rmb 260,800. b. raw materials requisitioned for use in production, rmb 231,600 (materials costing rmb 221,600 were charged directly to jobs; the remaining materials were indirect).c. costs for employee services were incurred as follows: direct labor rmb 130,600 indirect labor rmb 60,700 sales commissions rmb 20,300 administrative salaries rmb 50,200background image of page 1view the . rent for the year was rmb 17,100 (rmb 13,100 of this amount related to factory operations, and the remainder related to selling and administrative activities).e. utility costs incurred in the factory, rmb9,400. f. advertising costs incurred, rmb 14,100. g. depreciation recorded on equipment, rmb25,400. (rmb19,500 of this amount was on equipment used in factory operations; the remaining rmb5,900 was on equipment used in selling and administrative activities.)h. manufacturing overhead cost was applied to jobs, rmb ? . i. goods that had cost rmb310,400 to manufacture according to their job cost sheets were completed. j. sales for the year totaled rmb498,700. the total cost to manufacture these goods according to their job cost sheets was rmb308,500.requirement 1: prepare journal entries to record the transactions for the year.