Cameron Industries Is Purchasing a New Chemical Vapour Depositor in Order

Cameron Industries is purchasing a new chemical vapour depositor in order to make silicon chips. It will cost $6 million to buy the machine and $10,000 to have it delivered and installed. Building a clean room in the plant for the machine will cost an additional $3 million. The machine is expected to have a working life of six years. Which of these activities will be reported as an operating expense?

A) the delivery and install cost only
B) the delivery and install cost and the cost of the depositor
C) the cost of the clean room only
D) the cost of the depositor only