Part C On October 1, 2021, Nicklaus Corporation receives permission to replace its $.50 par value common stock (5,000,000 shares authorized, 2,500,000 shares issued, and 2,350,000 shares outstanding) with a new common stock issue having a $.25 par value. 2,430,000 Since the new par value is one-half the amount of the old, this represents a 2-for-1 stock split. The shareholders will receive two shares of the $.25 per stock in exchange for each share of the $.50 par value stock they own. The $.50 par value stock will be collected and destroyed by the issuing corporation. On November 1, 2021, the Nicklaus Corporation declares a $.05 per share cash dividend on common stock. On November 1, 2021, Nicklaus Corporation declares a $.25 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 1% stock dividend payable for December 28, 2021, to common shareholders of record on December 14. At the date of declaration, the common stock was selling in the open market at $11 per share. 1. Prepare journal entries to record the declaration and payment of the stock dividends and the cash dividends. 2. Assume the net income for the fourth quarter was $2,500,000. 3. Prepare a statement of shareholder's equity for Nicklaus Corporation as of December 31, 2021 only. A template.is included. This template was revised to include columns for both Paid-in Capital Common Stock and Paid-in Capital Preferred Stock. 4. Prepare a Balance Sheet - Shareholder's Equity Section for December 31, 2021. Part A In late 2020, the Nicklaus Corporation was formed. The corporate charter authorizes the issuance of 5,000,000 shares of common stock carrying a $.50 par value. The corporate charter also authorizes 1,000,000 shares of $4 par value, noncumulative, non- participating preferred stock. On January 2, 2021, 2,500,000 shares of the common stock are issued in exchange for cash at an average price of $9 per share. On January 2, all 1,000,000 shares of preferred stock are issued at $11 per share. 1. Prepare the journal entries to record these transactions. 2. You are not required to prepare the Balance Sheet - Shareholder's Equity Section. 3. Assume net income for the first quarter of 2021 was $1,000,000. Part B During 2021, the Nicklaus Corporation participated in three treasury stock transactions. On June 30, 2021, the corporation reacquires 150,000 shares at a price of $13 per share. On July 31, 2021, 40,000 treasury shares are reissued at $14 per share. On September 30, 2021, 40,000 treasury shares are reissued at $11 per share. 1. Prepare journal entries to record the transactions. 2. Assume the total net income for the second and third quarters of 2021 was $1,000,000. 3. You are not required to prepare the Balance Sheet - Shareholder's Equity Section. Part C On October 1, 2021, Nicklaus Corporation receives permission to replace its $.50 par value common stock (5,000,000 shares authorized, 2,500,000 shares issued, and 2,350,000 shares outstanding) with a new common stock issue having a $.25 par value. 2,430,000 Since the new par value is one-half the amount of the old, this represents a 2-for-1 stock split. The shareholders will receive two shares of the $.25 per stock in exchange for each share of the $.50 par value stock they own. The $.50 par value stock will be collected and destroyed by the issuing corporation. On November 1, 2021, the Nicklaus Corporation declares a $.05 per share cash dividend on common stock. On November 1, 2021, Nicklaus Corporation declares a $.25 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 1% stock dividend payable for December 28, 2021, to common shareholders of record on December 14. At the date of declaration, the common stock was selling in the open market at $11 per share. 1. Prepare journal entries to record the declaration and payment of the stock dividends and the cash dividends. 2. Assume the net income for the fourth quarter was $2,500,000. 3. Prepare a statement of shareholder's equity for Nicklaus Corporation as of December 31, 2021 only. A template.is included. This template was revised to include columns for both Paid-in Capital Common Stock and Paid-in Capital Preferred Stock. 4. Prepare a Balance Sheet - Shareholder's Equity Section for December 31, 2021