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Unformatted text preview: $75,000 Dr Loss on devaluation of Land $25,000 (P&L)
Dr Revaluation Reserve $20,000 (OCI)
Cr Land $45,000 Y4 Market
$110,000 $100,000 Dr Allowance for impairment $25,000
Cr Gain on reversal of impairment $25,000 $110,000 Dr Land $35,000
Cr Gain on revaluation of Land $25,000 (P&L)
Cr Revaluation Reserve $10,000 (OCI) No journal entry No journal entry *Assuming land is revalued on a yearly basis.
OCI= Other comprehensive income (AASB101)
Note: new terminology: Revaluation Reserve instead of Asset Revaluation Reserve.
Special thanks to Brian Booth for his technical expertise. 2...
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- Three '10