On January 2, 2017, Fable Corp. purchases a new machine. The company makes a $2,000 cash down payment, and agrees to pay four annual instalments of $4,000 each, starting December 31, 2017, signing a non-interest bearing note to this effect. The cash equivalent price of the machine is not known, but the appropriate interest rate for this type of transaction is 9%. Rounding to the nearest dollar, Fable should record the cost of the machine at