The income statement for Jiff y Woodworkers Inc., for the year ended December 31, 2012, is as follows:

Dividends of $24,800 were paid on December 30, 2012.
Required:
1. Give the entry required on December 31, 2012, to properly close the income statement accounts.
2. Give the entry required to close the dividends account at December 31,2012.

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Jiffy Woodworkers Inc Income Statement For the Year Ended December 31, 2012 Sales revenue Less expenses: S876,530 Insurance expense Property tax expense Rent expense Advertising expense. .108,450 5,120 7,340 8,600 $52,500 13,300 7,150 788,160 S 88,370 Net income