Your Brother Borrowed Your 2010 Toyota Corolla and Had an Accident.He

Multiple Choice

Your brother borrowed your 2010 Toyota Corolla and had an accident.He is okay, but the car is write-off.You paid $5,000 for it a year ago, and your brother has offered to give you $3,000, the cost he estimates of another 2010 Toyota Corolla.A new Toyota Corolla costs $22,500.Which of the following statements is true?

A) The replacement cost of the car is $3,000.
B) The replacement cost of the car is $5,000.
C) The replacement cost-new of the car is $5,000.
D) The replacement cost of the car is $22,500.