A machine that originally cost $10000 had its value reduced for two years at 10% per annum on the straight-line basis. It was then sold for cash, with the loss on disposal equal to $700. On the same day, a replacement machine was purchased for $12400 in cash. What was the net fall in the cash balance?
- A$3700
- B$5100
- C$11700
- D$13100