Kappi Capital Inc. holds a number of investment properties that it accounts for under IAS 40 using the fair value method. The company purchased a new rental property on January 1, 2020, for $1,500,000. The appraised value on December 31, 2020, was $1,450,000 and the appraised value on December 31, 2021, was $1,625,000.

Required: Prepare the adjusting journal entries for this property on December 31, 2020, and December 31, 2021.