Bush Limited (“Bush”) prepares its financial statements to 31 December each year. The company purchased a freehold property with an estimated useful economic life of 40 years at a cost of €1,150,000 on 3 September 2012, and on 31 December 2015 the freehold property was professionally valued at €1,350,000, with an estimated useful economic life of 36 years on that date. On 14 June 2017, Bush sold the property for €1,550,000.

It is company policy to: (i) depreciate freehold properties on a straight-line basis over their estimated useful economic life, with a full year’s depreciation in the year of acquisition and none in the year of disposal; (ii) eliminate accumulated depreciation on revaluations; and

(iii) transfer an amount from revaluation surplus to retained earnings (through the statement of changes in equity) each year equal to the difference between the depreciation on the revalued carrying value and the original cost.

Requirement Show clearly the journal entries required to record the sale of the property on 14 June 2017.