principles of financial reporting

on 1october 2005 Dearing acquired a machine under the following terms .manufacturer’s base price 1050000 trade discount (applying to base price only) 20% early settlement discount taken (on the payable amount of the base costs only) 5% freight charges 30000 electrical installation costs 28000 staff training in use of machine 40000 preproduction testing 22000 purchase of a three-year maintenance contract 60000 estimated residue value 20000 estimated life in machine hours 6000 hours used year ended 30 September 2006 tzs 1200 year ended 30 September 2007 tzs 1800 year ended 30 September 2008 (see below) tzs 850 on 1october 2007 Dearing decided to upgrade the machine by adding new components at a cost of tzs 200000.this upgrade led to the reduction in the production time per unit of the goods being manufactured using the machine. the upgrade also increased the estimated remaining life of the machine at October 2007 to 4500 machine hours and its estimated residue value was revised to tzs 40500

required:
prepare extracts from the income statement and statement of financial position for the above machine for each of the three years