Rambling Company Has One Employee Whose Total Salary for the Month

Rambling Company has one employee whose total salary for the month of January totaled $20,000.The federal income tax rate for this employee is 15%,the FICA Social Security tax is 6.2%,and the FICA Medicare tax is 1.45%.The state unemployment tax rate is 5.4% and the federal unemployment tax rate is 0.8% of the first $7,000 paid each employee.How would the company accrue its January employer's payroll tax expense and related liabilities?

A) Debit Salaries Expense for $20,000,credit FICA-Social Security Taxes Payable for $1,240,credit FICA-Medicare Taxes Payable for $290,credit Employee Federal Income Taxes Payable for $3,000,and credit Salaries Payable for $15,470.
B) Debit Payroll Tax Expense for $1,964,credit FICA-Social Security Taxes Payable for $1,240,credit FICA-Medicare Taxes Payable for $290,credit State Unemployment Tax Payable for $378,credit Federal Unemployment Tax Payable for $56.
C) Debit Payroll Tax Expense for $2,770,credit FICA-Social Security Taxes Payable for $1,240,credit FICA-Medicare Taxes Payable for $290,credit State Unemployment Tax Payable for $1,080,credit Federal Unemployment Tax Payable for $160.
D) Debit Payroll Tax Expense for $434,credit State Unemployment Tax Payable for $378,and credit Federal Unemployment Tax Payable for $56.
E) Debit Payroll Tax Expense for $1,240,credit State Unemployment Tax Payable for $1,080,credit Federal Unemployment Tax Payable for $160.