Pankaj, Naresh and Saurabh are partners sharing profits in the ratio of 3:2:1. Naresh retired from the firm due to his illness. On that date the Balance Sheet of the firm was as follows: Books of Pankaj, Naresh and Saurabh Balance Sheet as on March 31, 2017 Liabilities Amount Rs Assets Amount Rs General Reserve 12,000 Bank 7,600 Sundry Creditors 15,000 Debtors 6,000 Bills Payable 12,000 Less: Provision for Doubtful Debt 400 5,600 Outstanding Salary 2,200 Provision for Legal Damages 6,000 Stock 9,000 Capitals: Furniture 41,000 Pankaj 46,000 Premises 80,000 Naresh 30,000 Saurabh 20,000 96,000 1,43,200 1,43,200 Additional Information(i) Premises have appreciated by 20%, stock depreciated by 10% and provision for doubtful debts was to be made 5% on debtors. Further, provision for legal damages is to be made for Rs 1,200 and furniture to be brought up to Rs 45,000.(ii) Goodwill of the firm be valued at Rs 42,000.(iii) Rs 26,000 from Naresh’s Capital account be transferred to his loan account and balance be paid through bank; if required, necessary loan may be obtained from Bank.(iv) New profit sharing ratio of Pankaj and Saurabh is decided to be 5:1.Give the necessary ledger accounts and balance sheet of the firm after Naresh’s retirement.