Final answer:
Under IFRS, revaluation surpluses are reported in Other Comprehensive Income (OCI), and revaluation losses are also recognized in OCI if they do not exceed the revaluation surplus for the same asset; otherwise, they are taken to profit or loss. Answer A (True) is correct.
Step-by-step explanation:
The student's question pertains to the treatment of revaluation surpluses and losses under IFRS (International Financial Reporting Standards). Under IFRS, revaluation surpluses are reported in Other Comprehensive Income (OCI), while revaluation losses are recognized in profit or loss to the extent that they exceed any balance in the revaluation surplus relating to the same asset. If a revaluation loss is less than the existing revaluation surplus for the same asset, the loss is recognised in OCI against the surplus. Therefore, the correct answer is A. True.