On Jan 1, 2013, AV Enterprises granted 4M of its $1 par common shares and 1M stock options (to purchase 1M common shares at $25 per share) to division managers. The granted shares and options are subject to forfeiture if employment is terminated within 4 years. The market price of the firm's common stock is $22.50 per share on the grant date. An appropriate option pricing model determines that the value of each stock option is $10.

What journal entry should AV record to recognize the vesting of the grant on December 31, 2016, assuming no forfeitures and exercise of half of the options on that date?