Employer payroll taxes: Multiple Choice Represent the social security taxes withheld from employees. Are payable for up to a maximum $117,000 of employee earnings. Are paid by the employee. Are added expenses beyond that for the wages and salaries earned by employees. Represent the federal taxes withheld from employees.

Are added expenses beyond that for the wages and salaries earned by employees

Explanation:

The employer payroll taxes are the taxes which are to be computed as a percentage of the wages salaries earned by the employees. It is divided into two types - social security taxes i.e 6.2% and the medicare taxes 1.45%

And the journal entry is

Payroll tax expense A/c Dr

To Social security tax A/c  

To Medicate tax A/c  

To State Unemployment tax payable  

To Federal Unemployment tax payable

(Being the payroll tax expense is recorded)

Moreover, it is an added expenses

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.