Brasscircle Manufacturing Lid. prepares is financial statements to 30 Docember each year. The business purchased an item of production machinery for f90,000 on 1 April 2017 At that time, management estimated that the machinery would have a useh life t in business of 5 years and at the end of that period they estimate they will be abla to sell it for 12,000, The company uses the straight line method of deprecation for machinety and ch a full year's depreciation in the year of purchase and none in the year of sale. On 15th June 2021 this item of machinery was sold for 31,000. A university student on a work experience placement in June was asked to prepare a draft of the Asset Disposals Account as it would appear in the accounting system once the appropriate entries had been made. The incomplete Asset Disposals Account prepared is shown below: Which ONE of the following statements correctly reflects the information required to complete the Asset Disposals account entries for 15th June and how the account should be closed at the year-end, assuming this is the only asset disposal this year? 1. Y 62,400; Z: 27,600 DR: A: 3,400CR and this 3,400 should be transferred as a gain to the income statement at 30/3/21 2 Y 78,00012,000 DR: A: 19,000 CR and this 19,000 should be transferred as a gain to the income statement at 30 Norgi 3. Y: 62,400,27,600DR;A:3.400CR and this 3,400 should be transferred as a loss to the income statement at 30%/21 4. Y: 46,800;Z:43,200DR;A:12,200DR and this 12,200 should be transferred as a loss to the income statement at 30/9/21 5. Y: 78,000; Z: 12,000 DR; A: 19,000 CR and this 19,000 should be transferred as a loss to the income statement at 30/921 3 only 1 only 5 only 4 only 2 only