Step 1: Calculating heat supplied to water.
\[ Q = mc\Delta T \] \[ Q = 4 \times 4200 \times (20-4) \] \[ Q = 268800\,\text{J} \] Step 2: Calculating work done due to expansion.
Volume at $4^\circ$C:
\[ V_1 = \dfrac{4}{1000} = 0.004\,\text{m}^3 \] Volume at $20^\circ$C:
\[ V_2 = \dfrac{4}{998} = 0.004008\,\text{m}^3 \] Step 3: Change in volume.
\[ \Delta V = V_2 - V_1 = 8 \times 10^{-6}\,\text{m}^3 \] Step 4: Work done at constant pressure.
\[ W = P\Delta V = 10^5 \times 8 \times 10^{-6} = 0.8\,\text{J} \] Step 5: Increase in internal energy.
\[ \Delta U = Q - W \] \[ \Delta U = 268800 - 0.8 = 268799.2\,\text{J} \] Step 6: Final conclusion.
The increase in internal energy is $268799.2\,\text{J}$.