Please explain part 3, how do we calculate revaluation increase or decrease? Why sometimes we consider the difference between CA and FV, but sometimes we consider the difference between CA and RA?

Ex 7.1 - Determining recoverable amount and impairment adjustments Asset Carrying amount 100,000 50.000 80.000 200,000 120,000 Fair value 105,000 45,000 85,000 190,000 120,000 Cost of disposal 3,000 1,000 2,000 5,000 3,000 Value in use 110,000 48,000 82,000 220,000 115,000 1. Calculate the recoverable amount for the five items of plant & equipment. RA- higher of FV less costs of disposal and value in use Asset A: $110,000 (higher of $102,000 and $110,000) Asset B: $48,000 (higher of $44,000 and $48,000) Asset C: S83,000 (higher of S83,000 and $82,000) Asset D: $220,000 (higher of $185,000 and $220,000) Asset E: $117,000 (higher of $117,000 and $115,000) 2. Assume P&E is carried under the cost model, determine impairment adjustment. Impairment adjustment is necessary when RA CA Asset A: No impairment (RA of $110,000 > CA of $100,000) Asset B: Impairment adjustment of $2,000 (RA of $48,000 CA of $50,000) Asset C: No impairment (RA of $83,000 > CA of $80,000) Asset D: No impairment (RA of $220,000 > CA of $200,000) Asset E: Impairment adjustment of $3,000 (RA of $117,000CA of $120,000) 3. Assume P&E is carried under revaluation model, determine revaluation adjustment. Under revaluation model, revalue to lower of FV and RA. Asset A: Revaluation increase of $5,000 (CA $100,000 FV $105,000 RA $110,000) Asset B: Revaluation decrease of $5,000 (CA $50,000 FV $45,000 RA S48,000) Asset C: Revaluation increase of $3,000 (CA $80,000 FV $85,000 RA S83,000) Asset D: Revaluation decrease of $10,000 (CA S200,000 FV $190,000O RA $220,000) Asset E: Revaluation decrease of $3,000 (CA $120,000 FV $120,000 RA $117,000)