M owned certain patent rights. He granted a licence to N to use such rights on royalty basis. The following are the relevant particulars: The deficiency of any year is to be set off against royalties payable in excess of the minimum rent in two following years. In the event of a strike and the minimum rent not being realised, it was provided that the actual royalties earned for the year would be the full royalty obligation for the year. You are required to show the Royalties Account, M Account and Shortworkings Account in the books of N.
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