disposal of revalued assets

hi,

there is a task as following.
a company purchased an asset on 1 Jan 2003 at a cost of 1,000,000. It is depreciated over 50 years by straight line method.(nil residual value). At 31 Dec 2004 the asset was re valued to 1,200,000. The assest was sold on 30 June 2005 for 1,195,000. there was no change in the expected useful life of the asset.
What profit on disposal of the asset will be reported in IS of the company for the year ended 31 Dec 2005?

a) 7500 b) 247500

while calculating profit which will be shown in IS of the company, i closed the balance in Revaluation surplus account with the account of disposal. and credited the balance amount of rev/surplus account in the disposal account. So, i got answer 247,500. but answer is 7500. why?
why the amount of rev/surplus (240000) is not shown in IS of the company? but we know that if the profit on disposal of assets is realised , it should be shown in IS. am i not right?