A company uses the revaluation model to account for its building. This is the first revaluation. Information relating to the building at December 31, 2020:

Original cost	$ 2,500
Accumulated depreciation	500
Appraised value	2,600

Required:

1. Prepare the journal entry at December 31, 202, if needed, to adjust the carrying value of the building.
2. What is the effect of (a) on 2020 income before tax?