DUDE. Look at how many posts you made.
I get that this is a big thing for you and you need it fixed, but that sort of behavior on a volunteer forum is actually making it harder for anyone to help you in their spare time. Now we have to read all the posts, sort out what you did and didn't do, and come up with ideas. And? If you keep posting, then we can't keep up.
If you need ASAP help, you need to hire someone. Otherwise you need to slow down the posting and be patient. The volunteers here have real lives. Families. Jobs. Etc.
if i add new.domain.com through the subdomain page it creates a folder based upon that new subdomain name (e.g. new.domain.com gets pointed to /public_html/new)
Yes, and I specially asked what happens if you point that new sudomain to just /public_html/
If you don't have a way to change that, you need to tell us. By default, new subdomains point to their own folders. That's how subdomains work. I'm asking you to alter default behavior and edit the location before you hit 'create subdomain' or whatever the button is for you :)
Of course now you've gone and done a whole lot more that you may not have needed do to, so I'm going to skip all of it and hope this is your only, lingering problem.
i keep getting sent to "sub.domain.com/cgi-sys/defaultwebpage.cgi" when i visit the frontend.
That means it's getting your server's default subdomain page. Doublecheck where it's pointing to in your subdomain config. public_html?