Work Cover Queensland offers workers compensation coverage to people in Queensland, Australia. Its 2012 notes (compliant with IFRS) reported the following information on the asset revaluation reserve, which is included in stockholders' equity on the balance sheet.

Explain the concept of asset revaluation. What happened to the fair value of land during fiscal 2011 and fiscal 2012? Were the fair values of buildings similarly affected? How was the income statement affected by these revaluations?

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(in 000 Australian dollars) Carrying amount at the beginning of the prior year.... Movements for the prior year revaluation: Revaluation of land and building....... Income tax effect on revaluation of land and building. ...... Carrying amount at the end of the prior year Carrying amount at the beginning of the current year.... Movements for the current year revaluation: Revaluation of land and building .... Income tax effect on revaluation of land and building. Carrying amount at the end of the current year. ..... Land Buildings Total $6,720 $12,332 $19,052 6,720 6,720 $6,720 (898) 269 (629) 11,703 11,703 (1,641) 492 (1,149) $10,554 (898) 269 (629) 18,423 18,423 (1,641) 492 (1,149) $17,274