On 30 June 2020, Lima Ltd adopted the revaluation model for land. The land Lima Ltd held was revalued from $200,000 to $400,000. The company tax rate is 30%. The journal entry to recognise the asset revaluation surplus for land on 30 June 2020 is as follows:

Select one:

a.

DR Income tax expense (OCI) 60,000 DR Asset revaluation surplus 140,000 CR Gain on revaluation (OCI) 200,000

b.

DR Gain on revaluation (P/L) 200,000 CR Deferred tax liability 60,000 CR Asset revaluation surplus 140,000

c.

DR Land 200,000 CR Income tax expense (P/L) 60,000 CR Asset revaluation surplus 140,000

d.

DR Gain on revaluation (OCI) 200,000 CR Income tax expense (OCI) 60,000 CR Asset revaluation surplus 140,000