Total: 25 marks Question 5 Murray Limited operates its business in 3 different properties and the directors are considering recording these properties at valuation. The following information is available in respect of each of these properties at December 31, 2017: Original Cost Accumulated Valuation Depreciation 000 000 000 Property Sexton 260 240 Property Bundi 580 240 Property Best 620 188 460 520 292 There is a Revaluation Surplus on Property Bundi of 21,000 from revaluation gains in earlier years. Property Bundi is the only one of the 3 properties to have a revaluation surplus at 1 December 2017. Each property has a useful life of 20 years from 1 January 2017. Murray Limited depreciates its properties on a straight line basis Required: a) On the basis that the directors change the measurement base of the properties to the Valuation model, describe the impact on the 2017 financial statements of the company. You do not need to show the journals; 10 marks b) As the company's auditor, would you be satisfied if the directors decide to revalue Properties Bundi and Best but continue with the cost model in respect of Property Sexton? 2 marks X-BU3530-1 c) Calculate the depreciation charge to the Profit and Loss for a. Year Ended 31 December 2017 b. Year Ended 31 December 2018 5 marks