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ABC Ltd purchased land for $500,000 on 1 January 2017 and used revaluation model to account for this type of asset. It was revalued on
ABC Ltd purchased land for $500,000 on 1 January 2017 and used revaluation model to account for this type of asset. It was revalued on 31 December 2019 to $450,000. A subsequent revaluation on 31 December 2021 found the market value to be $600,000 due to a change in council zoning for the area.
On 31 December 2021, the company should record in its accounting book:
| A. | Revaluation expense $50,000 | |
| B. | Revaluation income $50,000 | |
| C. | Revaluation surplus $150,000 | |
| D. | Revaluation surplus $50,000 |
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