this revaluation is recorded directly in equity

问题如下：

MARU S.Ade CAT., a Mexican corporation that follows IFRS, has elected to use the revaluation model for its property, plant, and equipment. One of MARU's machines was purchased for 2,500,000 Mexican pesos (MXN) at the beginning of the fiscal year ended 31 March 2010. As of 31 March 2010, the machine has a fair value of MXN 3,000,000. Should MARU show a profit for the revaluation of the machine?

选项：

A.Yes. B.No, because this revaluation is recorded directly in equity. C.No, because value increases resulting from revaluation can never be recognised as a profit.

解释：

In this case, the value increase brought about by the revaluation should be recorded directly in equity. The reason is that under IFRS, an increase in value brought about by a revaluation can only be recognised as a profit to the extent that it reverses a revaluation decrease of the same asset previously recognised in the income statement.