Pass the necessary journal entries for the following transactions in case of dissolution of the partnership firm of X and Y after various assets (other than cash and bank) and third party liabilities have been transferred to Realisation Account:
- Dissolution expenses were ₹4,000.
- Machinery of the book value of ₹50,000 was sold in the market for ₹47,000 for which a commission of ₹500 was paid to the broker.
- A creditor for ₹70,000 accepted stock valued at ₹90,000 and paid to the firm ₹20,000.
- Loss on realisation ₹40,000 was divided between the partners’ X and Y in the ratio of 5:3.