Marsh Corporation bought a new machine on November 1, 2020 and agreed to pay for it with a note requiring equal annual installments of $7,000 at the end of each of the next 8 years with the first payment due October 31, 2021. Assuming that a prevailing interest rate of 6% applies to this contract, how much should Marsh record as the cost of the machine? Prepare the journal entry for the purchase of the machine.