Wyndham company exchanged an old machine having a carrying amount of 16,800 and paid a cash difference of 6,000 for a new machine having a total cash price of 20,500. The cash flows from the new machine are expected to be significantly different than the cash flows from the old machine. what amount of loss should Wyndham recognize on the exchange?

A. 3,700

B. 2,300

C. Nil

D. 6,000