Mid-West Tutoring Had the Following Payroll Information on January 31

Multiple Choice

Mid-West Tutoring had the following payroll information on January 31: Assume: FICA tax rates are: OASDI 6.2% on a limit of $128,400 and Medicare 1.45%.
State Unemployment tax rate is 2% on the first $7,000.
Federal Unemployment tax rate is 0.8% on the first $7,000.
Federal Income Tax Withheld $900; State Income Tax Withheld $300.
Using the information above, the journal entry to record the employee's payroll expense would include:

A) a debit to Payroll Tax Expense in the amount of $4,300.
B) a debit to Wages and Salaries Expense in the amount of $4,300.
C) a credit to Cash in the amount of $4,300.
D) a credit to FUTA Payable for $120.