Final answer:
Paying federal payroll taxes is part of the Human Resources/Payroll transaction cycle, which is a major source of federal revenue.
Step-by-step explanation:
Paying federal payroll taxes is part of the Human Resources/Payroll transaction cycle (Option A). This cycle encompasses the process of managing employee compensation and deducting the appropriate taxes, which includes Social Security and Medicare taxes, from their pay. The payroll tax is a significant source of federal revenue, accounting for a large percentage of federal tax revenues over time. In fact, nearly three-quarters of households pay more in payroll taxes than in personal income taxes.