Assume that on January 1, 2017, Ogden Company issues 1,000 shares of restricted stock to its CEO, Christie DeGeorge. Ogden's stock has a fair value of $20 per share on January 1, 2017. Additional information is as follows.

• 1.The service period related to the restricted stock is five years.
• 2.Vesting occurs if DeGeorge stays with the company for a five-year period.
• 3.The par value of the stock is $1 per share.

Ogden makes the following entry on the grant date (January 1, 2017).

Unearned Compensation 20,000 Common Stock (1,000 $1) 1,000 Paid-in Capital in Excess of ParCommon Stock (1,000 $19)

19,000

At December 31, 2017, Ogden records compensation expense of

Compensation Expense 4000

Unearned Compensation 4000

How do you get 4000?