A footwear manufacturer acquired a machine on 1st July 2018 for 180,000 and depreciated it annually At 10% of cost. Being an item of specialized nature the machine has no apparent market. On 1st July 2021 it learns from the supplier of the machine that replacement of the same machine will cost 210,000. Is revaluation of the machine permitted In the absence of a market and, if so, what will be the gain on revaluation?

21,000

30,000

Not allowed to revalue under these circumstances

310,000