Question 1 - 25 marks - answer all parts (1-4). In the 30 June 2019 annual report of Avoca Ltd, the equipment was reported as follows: Equipment (at cost) Accumulated depreciation 1,950,000 595,000 1,355,000 The equipment consisted of two machines, Machine A and Machine B. Machine A had cost $1,500,000 and had a carrying amount of $980,000 at 30 June 2019, and Machine B had cost $450,000 with a carrying amount of $375,000. Both machines are measured using the cost model, and depreciated on a straight-line basis over 8 years for Machine A, and 10 years for Machine B. On 31 December 2020, the directors of Avoca Ltd decided to change the basis of measuring the equipment from the cost model to the revaluation model. Machine A was revalued to $950,000 with an expected useful life of 6 years. Required 1. Prepare journal entries to record depreciation during the year ended 30 June 2020, assuming there was no revaluation, for both Machine A and Machine B. (6 marks) 2. Prepare the journal entry on the basis that the asset was revalued at 31 December 2020. (4 marks) 3. Calculate the gain or loss on revaluation. (4 marks) 4. Prepare the journal entries for Machine A for the period 1 July 2020 to 30 June 2021 on the basis that it was revalued on 31 December 2020. (11 marks)