Monika Ltd owns a special equipment that originally cost $54,000. It has been depreciated using the straight-line method for 3 years, giving an accumulated depreciation of $22,500 (the salvage value was estimated at $8,000 and the useful life at 6 years). At the beginning of the current financial year its carrying value is therefore $31,500. It has been decided by the directors to revalue it to fair value, which is assessed to be $57,000. The salvage value and useful life are considered to be unchanged. Identify whether the machine has revaluation increment or decrement.

Required:

What are the necessary journal entries to record the revaluation in the current financial year? You are required to show all calculation.