Problem 1: (18 pts) Nelson Co. employs a staff of 35 at a total monthly gross pay of $75,000. The company withholds federal income tax at 20% and state income tax at 3% for all employees. FICA tax is withheld at a rate of 7.65%. Nelson pays its employees on the last day of the month but does not remit the withholdings until the 10th of the next month. Payroll taxes due for a given month are also not remitted until the 10th of the following month Part A: Prepare the journal entry Nelson Co. should make to record salaries and employee withholdings for January 31. Round all amounts to the nearest whole dollar. Date Debit Credit Jan 31 Part B: In addition, the following tax rates apply for payroll taxes: FICA tax, 7.65%; federal unemployment tax, 0.8%; state unemployment tax, 2.7%. Prepare Nelson's Jan 31 entry to accrue its payroll tax expense. You may ignore any annual tax threshold limits. Jan 31