Lopez company has a single employee, who earns a salary of $192,000 per year. that employee is paid on the 15th and last day of each month. on january 15, lopez is subject to the following payroll taxes: fica–social security taxes (at 6.2% of the first $118,500 each employee earns in the calendar year), fica–medicare taxes (at 1.45%), futa (at 0.6% of the first $7,000 each employee earns in the calendar year), and suta (at 5.4% of the first $7,000 each employee earns in the calendar year). the journal entry to record the employer's payroll tax expense and related liabilities would include a debit to:

For example, the upper right cell shows that if expresso advertises and beantown doesn't advertise, expresso will make a profit of $15 million, and beantown will make a profit of $2 million. assume this is a simultaneous game and that expresso and beantown are both profit-maximizing firms. if expresso decides to advertise, it will earn a profit of $ million if beantown advertises and a profit of $ million if beantown does not advertise. if expresso decides not to advertise, it will earn a profit of $ million if beantown advertises and a profit of $ million if beantown does not advertise. if beantown advertises, expresso makes a higher profit if it chooses . if beantown doesn't advertise, expresso makes a higher profit if it chooses . suppose that both firms start off not advertising. if the firms act independently, what strategies will they end up choosing? expresso will choose to advertise and beantown will choose not to advertise. expresso will choose not to advertise and beantown will choose to advertise. both firms will choose to advertise. both firms will choose not to advertise.