If the appraisal value of identifiable assets acquired exceeds the acquisition price it should be reported as?

Answer 1

Subsequent to initial acquisition, you can choose to account for your fixed asset using the cost model or the revaluation model. If you choose to revalue and if a revaluation results in an increase in value, it should be credited to equity under the heading "revaluation surplus".
Dr Fixed asset (to increase the cost up to the revalued amt)
Cr Revaluation surplus (a component of equity)

Answer 2

the basis for depreciation