Is the sale valid if the master sells something acquired using the funds the Mukatab paid to him in the invalid transaction?

Primary text

If the master sells an item acquired with the funds the Mukatab paid him, and the item is one whose sale is permissible, the sale is valid if the funds the master received are still extant. If the funds were destroyed and their value became due, and that value was of the same kind as the debt of manumission, a set-off occurs. If the possessed amount was of the same kind as the debt of manumission, they settle accounts, and the transaction is valid.