A machine whose original cost was $10\,000 was depreciated over two years at $10\%$ per annum on the straight-line basis. It was then sold for cash, and the loss on disposal was $700. On the same day, a replacement machine was purchased for $12\,400 cash. What was the net fall in the cash balance?
- A$3\,700
- B$5\,100
- C$11\,700
- D$13\,100