NOTE 13. SHARE-BASED COMPENSATION

Stock Options

On May 10, 2018, the Board ratified and confirmed the 2014 Equity Incentive Plan (the “2014 Plan”). The 2014 Plan is a broad-based plan under which shares of our common stock are authorized for issuance for awards, including stock options, stock appreciation rights, restricted stock, and cash incentive awards to members of our Board, executive officers, employees and independent contractors. As of December 31, 2020, a total of 6,550,750 shares of our common stock were authorized for issuance. As of December 31, 2020, 171,701 shares remained available for issuance as new awards under the 2014 Plan.

During the years ended December 31, 2020 and 2019, we issued 465,000 and 520,000 options to purchase our common stock, respectively to executive officers, employees and independent contractors. The fair value of all stock options granted for the year ended December 31, 2020 and 2019 was determined to be $435,639 and $958,850, respectively, using the Black-Scholes option pricing model with the following assumptions:

A summary of stock option activity is as follows:

A summary of unvested stock option activity is as follows:

As of December 31, 2020, our unrecognized share-based compensation expense associated with the stock options issued was $611,000, which is expected to be amortized over a weighted-average of 2.04 years.

Restricted Awards

During the year ended December 31, 2020, we issued an aggregate of 228,333 restricted shares of our common stock valued at $279,586 to our board members in consideration of their service on the Board. These shares vested immediately on the grant date. An additional 130,000 restricted shares of our common stock valued at $175,045 were issued to an employee and contractor of the Company. These shares were granted in consideration of the individuals’ service to the Company. These shares vest in one year on November 12, 2021.