Question 1

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

Residential land, at cost	2,305,483
Factory land, at valuation 2020	2,074,935
Buildings, at valuation 2020	1,844,386
Accumulated depreciation	-230,548

On 30 June 2022, the balance of the revaluation surplus is $922 193, of which $691 645 relates to the factory land and $230 548 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 on 30 June 2022 are:

Residential land, previously recorded at cost	2,536,031
Factory land, previously revalued in 2020	1,613,838
Buildings, previously revalued in 2020	2,074,935

Required:

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