Question 1 The following is an extract from the unadjusted trial balance of Lily Berhad as at 31* December 2016: Land Buildings at Cost Accumulated Depreciation - Building Net income Revaluation Surplus - Building RM400.00 0 1.600.000 320,000 300.000 150.000 Additional information: 1) The land and building were purchased 5 years ago. Depreciation to date on building has been on a straight line basis with useful life of 20 years. 11) On 315 December 2016, the land and building were revalued at RM450.000 and RM1,000,000 respectively. 111) On 315 December 2017, the land and building were revalued at RM420.000 and RM1,100,000 respectively. (Round your answers to the nearest RM). iv) Revaluation surpluses for land and building are to be recorded separately. v) Net income for the year ended 31* December 2017 (before adjustment for depreciation expense) was RM400.000. Required: a) Prepare the journal entries to record the revaluation of the land and building on 31* December 2016 and 2017. The company uses revaluation model for subsequent measurement of its property, plant and equipment. (10 marks) b) Show the extract of Statement of Profit or Loss and Other Comprehensive Income for the year ended 31 December 2016 and 2017, and the Statement of Financial Position as at 31* December 2016 and 2017, showing the non-current assets and equity sections only. (10 marks) c) Briefly explain what is an impairment loss and how it is treated? (4 marks)