Sunland Corporation was organized on January 1, 2022. It is authorized to issue 18,800 shares of $3-noncumulative preferred shares and an unlimited number of common shares. The following share transactions were completed during the first year. Jan. 1 Issued 75,200 common shares for cash at $3 per share. Mar. 1 Issued 11,000 preferred shares for cash at $54 per share. May 1 Issued 112,800 common shares for cash at $5 per share. Sept. 1 Issued 4,700 common shares for cash at $6 per share. Nov. 1 Issued 3,100 preferred shares for cash at $56 per share. Dec. 1 Declared the annual preferred dividend to the preferred shareholders, to shareholders of record on December 15, payable on January 15, 2023. Dec. 31 Reported net income of $138,600 for the year.

(b) Record the closing entries for dividends and for the income summary account. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31 (To close cash dividends) 31 (To close profit/loss) List of Accounts (b) Record the closing entries for dividends and for the income summary account. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter for the amounts.) Date Account Titles and Explanation Debit Credit Dec. 31 (To close cash dividends) 31 (To close profit/loss) List of Accounts