(Financial statement classifications) Billy Donovan’s Airboats purchased a plastics extruding machine for $200,000 to make boat hulls. During its first operating year, the machine produced 10,000 units; its depreciation was cal¬ culated to be $25,000. The company sold 8,000 of the hulls.

a. What part of the $200,000 machine cost is expired?

b. Where would each of the amounts related to this machine appear on the financial statements?

LO1.