On January 1, 2018, VKI Corporation awarded restricted stock units (RSUs) representing 15 million of its $1 par common shares to key personnel, subject to forfeiture if employment is terminated within three years. After the recipients of the RSUs satisfy the vesting requirement, the company will distribute the shares. On the grant date, the shares had a market price of $6.00 per share.1. determine the total compensation cost pertaining to the rsus.

2. prepare the appropriate journal entries. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field).

Total compensation cost = $90 million

Journal entries are shown below.

Explanation:

(1). As per the given data in the question,

Units = 15 million

Market Price of per share = $6

So, total compensation cost = 15 million × $6

= $90 million

(2). The journal entry are as follows:

Total cost = $90 million

Time period = 3 years

so, Per year cost = $90 million ÷ 3 = $30 million

Jan.1,2018 No journal entry required

Dec.31,2018 Compensation Expense A/c Dr. $30 million            

                    To Restricted Stock, Paid in capital A/c $30  million  

Dec.31,2019 Compensation Expense A/c Dr. $30 million  

                    To Restricted Stock, Paid in capital A/c $30 million  

Dec.31,2020 Compensation Expense A/c Dr. $30 million  

                    To Restricted Stock, Paid in capital A/c $30 million  

Dec.31,2020 Restricted Stock, Paid in capital A/c $90  million  

                     To Common stock $15  million  

   To Paid in capital excess of par Common stock  $75 million    ( $90 - $15)

answer: yo mama

explanation: yo mama