Pony,Inc ,Issues Restricted Stock to Employees in July 2016,with a Two-Year

Pony,Inc. ,issues restricted stock to employees in July 2016,with a two-year vesting period and an SRF.An employee must remain a full-time employee of Pony for two years after the restricted stock is issued.The stock is trading at $10 per share when the stock is issued.An employee,Sam,decides to make the § 83(b) election with his 1,000 shares.At the end of 2016,the stock is selling for $13 per share.What amount,if any,can Pony take as a compensation deduction?

A) $0.
B) $10,000 in 2016.
C) $13,000 in 2016.
D) $10,000 when stock is sold.
E) $13,000 when stock is sold.