Bryson works for Quite Deep Quarry Inc. as a backhoe operator. One day, Bryson is operating the company’s backhoe to scoop up quarried rock from the side of the quarry. At noon, Bryson goes on his lunch break, and in his hurry he forgets to set the emergency brake of the backhoe. The backhoe slowly starts to drift downhill, and eventually it rolls to the edge of the quarry, where it falls 100 feet to the bottom. Due to the fall, the backhoe is completely destroyed. And as a result of the accident, Quite Deep Quarry Inc. will now need to purchase a new backhoe which costs $50,000. The underlined portion of the above scenario is an example of which of the elements of a loss exposure?
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