Question 8 1 pts In the 30 June 2020 annual report of Smith Ltd, the building was reported as follows: Building (at cost) $ 150 000 Accumulated depreciation 30 000 120 000 The building is depreciated on a straight-line basis over a 10-year period. The company used revaluation model for the building. The company finds out that the building has a fair value of $100,000 on 30 June 2020. On 30 June 2021, the fair value of building is assessed to be $95,000. Recoverable amounts in both years equal fair values. Which journal entries are correct to revalue the asset in accordance with AASB 116 Property, Plant and Equipment on 30 June 2021? DR Building $7,500; CR Gain on Revaluation (OC) $7,500 In the 30 June 2020 annual report of Smith Ltd, the building was reported as follows: Building (at cost) $ 150 000 Accumulated depreciation 30 000 120 000 The building is depreciated on a straight-line basis over a 10-year period. The company used revaluation model for the building. The company finds out that the building has a fair value of $100,000 on 30 June 2020. On 30 June 2021, the fair value of building is assessed to be $95,000. Recoverable amounts in both years equal fair values. Which journal entries are correct to revalue the asset in accordance with AASB 116 Property. Plant and Equipment on 30 June 2021? OCR Gain on Revaluation (P/L) $5.000, CR Building $5,000 DR Building $22,500: CR Gain on Revaluation (P/L) $20,000; CR Gain on Revaluation (OCI) $2,500