Gainesville Truck Center This Company Has a Weekly Payroll of $10,000

Gainesville Truck Center This company has a weekly payroll of $10,000 for its employees who work Monday through Friday.Federal and state income taxes are withheld in the amounts of $1,700 and $400,respectively,and FICA taxes are withheld at a mandatory rate of 7.65% (6.2% for Social Security and 1.45% for Medicare) .In addition,the federal and state unemployment taxes are applied at rates of 2% and 5%,respectively.The company's year-end is December 31.
-Refer to Gainesville Truck Center.Which of the following statements is true regarding the unemployment taxes to be recorded?

A) $700 of unemployment taxes will be withheld from employee paychecks.
B) $700 of unemployment tax expenses will be included on the income statement.
C) $1,400 of unemployment taxes payable will be included on the balance sheet.
D) $1,400 of unemployment tax expenses will be included on the income statement.