On January 1, Year 1, the ABC Company purchased a machine and signed a note promising to pay $30,000 in 3 years, on December 31, Year 3. This amount represents the total amount that ABC will pay in this transaction. The machine is custom made and not easily appraised. ABC's implicit interest rate is 8%. At what amount would ABC report the note on its December 31, year 1 balance sheet?

$32,400

$30000

$23,815

$25,720