All of the Following Statements About the Financing of Unemployment

All of the following statements about the financing of unemployment insurance benefits are true EXCEPT

A) All contributions from a state are deposited in the state's account in a federal trust fund from which benefits are paid.
B) The tax rate for a given employer may be reduced if the employer has a favorable employment record.
C) Part of an employer's contribution is used for administrative expenses,to fund extended benefits,and to maintain a loan fund that can be draw upon if the state's account is depleted..
D) Most state programs are financed primarily by payroll taxes paid by employees.