Malrom manufacturing company acquired a patent on a manufacturing process on Jan. 1 2010 for $5,000,000. It was expected to have a 10 year life and no residual value. Malrom uses straight-line amortization for patents. On Dec. 31, 2011 the expected future cash flows expected from the patent were expected to be $400,000 per year for the next eight years. The fair value of the patent is $2,400,000. At what amount should the patent be carried on the Dec. 31, 2011 balance sheet?