For the year ended December 31, 2017, Huron Lake Enterprises Ltd. had the following revenues and expenses:

Question:

For the year ended December 31, 2017, Huron Lake Enterprises Ltd. had the following revenues and expenses: Sales, $745,000; Cost of Goods Sold, $450,000; Operating Expenses, $135,000; and Income Tax Expense, $35,000. The company also declared $25,000 of dividends to the common shareholders on December 27 to be paid on January 15, 2018. Prepare closing entries for Huron Lake on December 31, 2017.