On January 1, 2018, Tustumena Company purchased a used tractor. Tustumena paid $4,000 down and signed a noninterest-bearing note requiring $20,000 to be paid on December 31, 2020. The fair value of the tractor is not determinable. An interest rate of 5% properly reflects the time value of money for this type of loan agreement. The company's fiscal year-end is December 31. Question The value of the tractor purchased would be: $24,000 $21,277 $16,000 $20,732