I originally asked for help with Part C of the question. The response provided for #3 of Part C was incorrect. Please help Part C On October 1, 2021, Nicklaus Corporation receives permission to replace its $1 par value common stock (4,000,000 shares authorized, 2,000,000 shares issued, and 1,900,000 shares outstanding) with a new common stock issue having a $0.50 par value. Since the new par value is one-half the amount of the old, this represents a 2-for-1 stock split. That is, the shareholders will receive two shares of the $0.50 par stock in exchange for each share of the $1 par stock they own. The $1 par stock will be collected and destroyed by the issuing corporation. On November 1, 2021, the Nicklaus Corporation declares a $0.09 per share cash dividend on common stock and a $0.26 per share cash dividend on preferred stock. Payment is scheduled for December 1, 2021, to shareholders of record on November 15, 2021. On December 2, 2021, the Nicklaus Corporation declares a 3% stock dividend payable on December 28, 2021, to shareholders of record on December 14. At the date of declaration, the common stock was selling in the open market at $12 per share. The dividend will result in 114,000 (0.03 3,800,000) additional shares being issued to shareholders. Required: 1. Prepare journal entries to record the declaration and payment of these stock and cash dividends. 2. Prepare the December 31, 2021, shareholders' equity section of the balance sheet for the Nicklaus Corporation. (Assume net income for the fourth quarter was $2,250,000.) 3. Prepare a statement of shareholders' equity for Nicklaus Corporation for 2021.

The response provided is incorrect

NICKLAUS CORPORATION Statement of Shareholders' Equity For the Year Ended Dec. 31, 2021 ($ in thousands) Additional Total Preferred Common Paid-in Retained Treasury Shareholders' Equity Stock Stock Capital Earnings Stock Jan. 2, 2021 Issuance of preferred stock 5,000,000 25,000,000 22,000,000 Issuance of common stock 2,000,000 Purchase of treasury stock Sale of treasury stock (2,100,000) 700,000 25,000 30,000,000 24,000,000 (2,100,000) 725,000 6,300,000 (342,000) (260,000) Net income Common cash dividends Preferred cash dividends 6,300,000 (342,000) (260,000) (1,368,000) 4,330,000 Stock dividend 57,000 2,057,000 1,311,000 48,336,000 December 31, 2021 5,000,000 (1,400,000) 58,323,000