1. The carrying amount of XYZ Cos property at the end of the year amounted cost/value $225,000 and accumulated depreciation $27,000. On this date the property was revalued and was deemed to have a fair value of $105,000. The balance on the revaluation surplus relating to a previous revaluation gain for this property was $50,000.

Required

Calculate the revaluation loss and prepare the journal entry to account for the revaluation.