Question

Troubadour Limited had an existing revaluation surplus in respect to an item of plant that had been derecognised. An appropriate journal entry to transfer the surplus to retained earnings would include:

Select one:

a. DR Gain on revaluation — OCI.

b. DR Retained earnings.

c. CR Asset revaluation surplus.

d. CR Retained earnings.

Troubadour Limited had an existing revaluation surplus in respect to an item of plant that had been derecognised. An appropriate journal entry to transfer the surplus to retained earnings would include:

Select one:

a. DR Gain on revaluation — OCI.

b. DR Retained earnings.

c. CR Asset revaluation surplus.

d. CR Retained earnings.