This question did not include a financial statement. I believe the question more so problem solving by using explaination but not totally sure

Part 2: Capitalize versus Expense. During the year, New Parts Company retooled its production line in order to accommodate the required changes to auto parts for new car models. The retooling costs were capitalized to New Parts' balance sheet. Company observers suggested that the retooling costs should have been charged against income at the time of purchase rather than capitalized to the company's balance sheet. Required If New Parts Company switched from capitalizing and amortizing the costs of retooling to immediately expensing them (for reporting to shareholders only), indicate how the following financial statement items would be affected: 1. Operating revenue 4. Assets 2. Operating expenses 5. Liabilities 3. Cash flow from operations