Malrom Manufacturing Company acquired a patent on a manufacturing process on January 1, 2012 for $6,250,000. It was expected to have a 10 year life and no residual value. Malrom uses straight-line amortization for patents. On December 31, 2013, the expected (undiscounted) future cash flows expected from the patent were expected to be $500,000 per year for the next eight years. The present value of these cash flows, discounted at Malroms market interest rate, is $3,000,000. At what amount should the patent be carried on the December 31, 2013 balance sheet?

A) $6,250,000

B) $5,000,000

C) $4,000,000

D) $3,000,000