Final answer:
Kingbird Corporation should record a stock-based compensation expense of $151,800 on January 1, 2025, which is calculated by multiplying the number of restricted-stock units (2,200 shares) by the fair value of the stock ($69 per share).
Step-by-step explanation:
The stock-based compensation expense that Kingbird Corporation should record on January 1, 2025, is based on the fair value of the stock on the grant date rather than the par value. Since the fair value (market price) of each share is $69, and the corporation granted 2,200 shares, the total stock-based compensation expense is the number of shares multiplied by the fair value per share.
Thus, the calculation is 2,200 shares × $69 per share = $151,800.
This expense would typically be recognized over the vesting period of the RSUs, but since the recognition date mentioned in the question is on the grant date, the entire amount should be considered the compensation expense, assuming the RSUs vest immediately, or the expense is to be recognized upfront for some reason.