A Boat,costing $108,000 and Uninsured,was Wrecked the Very First Day

Multiple Choice

A boat,costing $108,000 and uninsured,was wrecked the very first day it was used.It can either be disposed of for $11,000 cash and be replaced with a similar boat costing $110,000,or rebuilt for $98,000 and be brand new as far as operating characteristics and looks are concerned.The total relevant cost of replacing the boat is:

A) $97,000.
B) $87,000.
C) $99,000.
D) $110,000.
E) $98,000.