1. On 1 July 2015, Radiant Ltd purchased and recorded equipment at its cost of acquisition of $4.8 million. Radiant Ltd uses therevaluation modelto account for property, plant and equipment and records revaluations using thegross method.Radiant Ltd depreciated the asset over its estimated useful life of eight years using the straight-line method. Residual value at the end of eight years was zero.
2. On 30 June 2016 the fair value of the equipment was the same as its carrying amount, and on 30 June 2017 the fair value of the equipment was $4.68 million. There was no change in the estimated useful life or the residual value of the equipment.

1. Calculate the carrying amount of the equipment at 30 June 2017, immediately before the revaluation, and record the revaluation of the equipment on 30 June 2017. Calculate the depreciation expense recorded in 2017/2018.
2. Now assume that Radiant Ltd uses thenet methodto record revaluations. Would your answer differ from that for (a) above? Show supporting calculations.