Cullumber pays a weekly payroll of $251000 that includes federal income taxes withheld of $38200, FICA taxes withheld of $23970,
and 401(k) withholdings of $27300. What is the effect on assets and liabilities from this transaction?
Assets decrease $251000 and liabilities do not change.
Assets decrease $161530 and liabilities increase $89470.
Assets decrease $188830 and liabilities increase $62170.
Assets decrease $188830 and liabilities decrease $62170.