Question 1 (11 marks)

ABC Ltd has the following land and buildings in its financial statements as at 30 June 2022:

Residential land, at cost	2,271,300
Factory land, at valuation 2020	2,044,170
Buildings, at valuation 2020	1,817,040
Accumulated depreciation	-227,130

At 30 June 2022, the balance of the revaluation surplus is $908 520, of which $681 390 relates to the factory land and $227 130 to the buildings. On this same date, independent valuations of the land and buildings are obtained. In relation to the above assets, the assessed fair values at 30 June 2022 are:

Residential land, previously recorded at cost	2,498,430
Factory land, previously revalued in 2020	1,589,910
Buildings, previously revalued in 2020	2,044,170

Required:

Provide the journal entries to account for the revaluation on 30 June 2022. ABC Ltd classifies the residential land and the factory land as different classes of assets.