On January $1,2020,$ Splish Brothers Corporation acquires a building at a cost of $\backslash (\backslash$$ $95,000\backslash ).$ The building is expected to have a $\backslash (25-\backslash )$ year life and no residual value, resulting in depreciation of $\backslash (\backslash$$ $3,800\backslash )$ per year for the first three years $(\backslash (\backslash$$ $95,000/25\backslash )$ years $\backslash (=\backslash$$ $3,800\backslash )).$ The asset is accounted for using the proportionate revaluation method and revaluation is carried out every three years. On December $31,2022,$ the fair value of the building is appraised at $\backslash$$$85,272.$

$($a$)$

Your answer is correct.

Calculate the amount of depreciation to be charged for each year from $2023$ to $2025.($Round answer to $0$ decimal places, e$.$g$.5,275.)$ Provide the related journal entry on December $31,2025,$ when it is determined that fair value of the building is appraised at $\backslash (\backslash$$ $71,200\backslash )$ and the balance in the Revaluation Surplus $($OCI$)$ account is $\backslash$$$1,672.($Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. List all debit entries before credit entries. Round answers to $0$ decimal places, e$.$g$.5,275.)$

Account Titles

Credit

Revaluation Surplus $($OCI$)$

Revaluation Gain or Loss

Accumulated Depreciation $-$ Buildings