On January $1,2024,$ ?Sherwood Company granted $97,000$ ?stock options to certain executives. The options are exercisable no sooner than December $31,2026,$ ?and expire on January $1,2030.$ ?Each option can be exercised to acquire one share of $$1$ ?par common stock for $$9.$ ?An option$-$pricing model estimates the fair value of the options to be $$4$ ?on the date of grant.

If unexpected turnover in $2025$ ?caused the company to estimate that $20\%$ ?of the options would be forfeited, what amount should Sherwood recognize as compensation expense for $2025?$

Note: Do not round intermediate calculations. Round your final answer to the nearest whole dollar amount.