A is corrent. Accrued liabilities include expenses which have been incurred but not yet paid. Both federal unemployment tax and the employer’s share of FICA taxes represent the employer’s payroll tax expense which is incurred as employees earn wages, but which is only paid periodically. Therefore, both types of expense represent accrued liabilities.
B is incorrect because both federal unemployment tax and the employer’s share of FICA taxes represent the employer’s payroll tax expense which is incurred as employees earn wages, but which is only paid periodically. Therefore, both types of expense represent accrued liabilities.
C is incorrect because both federal unemployment tax and the employer’s share of FICA taxes represent the employer’s payroll tax expense which is incurred as employees earn wages, but which is only paid periodically. Therefore, both types of expense represent accrued liabilities.
D is incorrect because both federal unemployment tax and the employer’s share of FICA taxes represent the employer’s payroll tax expense which is incurred as employees earn wages, but which is only paid periodically. Therefore, both types of expense represent accrued liabilities.
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