Harry Kane Manufacturing Harry has an electronic computer components business in Isando. His accountant immigrated during the last financial year and he has not yet been able to find a replacement. As he is not familiar with the financial side of things, he has come to you for help in finalising his accounts and advice on a new venture he is considering. Firstly, the accounts for the year ended 28th February 2022 need to be completed to keep SARS happy and give him a starting point for next year's budget. Harry's bookkeeper was able to offer the following information: 1. Sales for the year had been R1,570,000 all of which had been on credit. 2. All sales were of their only product, which had a consistent Cost of Sales of 46%. 3. When Harry set up the company ten years ago, he issued himself with 6,000 shares of R1 each. There have been no new share issues since then. 4. The prevailing tax rate in South Africa at the time was 40% and Harry always paid out half of the earnings after tax as a dividend to himself. 5. As Harry understood the benefit of taking suppliers up on early settlement discounts, he paid most of his creditors within 7 days. Thus, creditors outstanding at year-end were only R12,300. 6. Harry hated debt, so had no L-T borrowings at all. Interest paid to finance the overdraft during the year came to R2,500. 7. General and Admin costs for the year totaled R109,000 and Staff costs amounted to R178,800. 8. Harry's powerful corporate customers were extremely slow at paying. The year-end debtors figure of R285,600 worried him a great deal. 9. Depreciation for the year came to R45,900 and the NBV of fixed assets at the end of the year was calculated to be R324,000 10. Sales and Marketing costs for the year were 8% of turnover. 11. Last year's balance sheet showed retained earnings as at 28th February 2021 to equal R553,900. 12. Stock holding of raw materials amounted to an average of 32 days of production. 13. Cash in the safe at year end amounted to R72,300 and the company's only bank account was