On 1 July 2020, XYZ Ltd purchased an equipment at $320,000 and a block of land at $350,000. Revaluation model was adopted to account for the equipment while the block of land was valued using the cost model. The equipment is expected to have a useful life for six years and an estimated residual value of $20,000. XYZ Ltd depreciates the asset using the straight-line method. XYZ Ltd recorded accumulated depreciation using the net method. On 30 June 2021, the fair value of the equipment was $250,000. On the same date, an expert estimated that the fair value of the block of land was $30,000 higher than its initial purchase cost in July 2020. There was no change in the estimated useful life or the estimated disposal value. The reporting period XYZ Ltd ends on 30 June.

Do not include commas and dollar sign ($) in your answer. Present $1,000 as 1000.

• What is the amount of depreciation expense for the equipment the firm should record for the financial period ended on 30 June 2022?
• What is the carrying amount of the block of land as at 30 June 2021?