r 1 at a cost of $5 million. The Washington Company acquired equipment on January 2, Yea equipment has an estimated five-year life, a zero residual value, and is depreciated on a straight-line basis. On January 2, Year 2, Washington Company determines that the fair value of the equipment (net of any accumulated depreciation) is $6 million. There is no change in the estimated useful life of the equipment, nor is there any change in the estimated residual value. Required: Make the appropriate journal entries at each date listed below. Assume that Washington Company employs IFRS to prepare financial statements and elects to use the revaluation model for measurement of this equipment subsequent to its initial recognition. January 2, Year 1 (Purchase of the equipment for cash.) January 2 Year2 (Revaluation of equipment using the revaluation model.) December 31 Year 2. (Depreciation of the equipment for Year 2.) December 31 Year 3. (Depreciation of the equipment for Year 3.)