Wilson Inc Wishes to Use the Revaluation Model for This

Multiple Choice

Wilson Inc wishes to use the revaluation model for this property: $$\begin{array} { | l | r | } \hline & \text { Before Revaluation } \\\hline \text { Building Gross Value } & 120,000 \\\hline \text { Building Accumulated Depreciation } & 40,000 \\\hline \text { Net carrying value } & 80,000 \\\hline\end{array}$$ The fair value for the property is $40,000. Assuming this is the first year of using the revaluation model, which of the following amounts will be booked?

A) $40,000 debit to profit and loss.
B) $40,000 credit to profit and loss.
C) $40,000 debit to OCI.
D) $40,000 credit to OCI.