b. Calculate the business income apportioned toState X. Sharon Incorporated is headquartered in State X and owns 100 percent of Carol Corporation, JoseyCorporation, and Janice Corporation, which form a single unitary group. Assume sales operations are withinthe solicitation bounds of Public Law 86-272. Each of the corporations has operations in the following states:DomicileStateDividendincomeBusinessincomeSales:State XSales:State YSales:State ZSales:State ASales:State BProperty:State XProperty:State YProperty:State ZPayroll:State YProperty: 65,000State APayroll:12,300State XPayroll:State ZCarolSharonJoseyIncorporated Corporation CorporationState Y State ZJaniceCorporationState ZState X(throwback) (throwback) (nonthrowback) (nonthrowback)$ 1,490$ 525$ 580$ 48560,50013,40075,20012,5007,85028,000Payroll:State A21,90015,90060,00046,25015,50059,75020,30028,40093,50015,50055,75043,5003,15015,70018,60012,50011,70014, 20025,50011,10010, 200Compute the following for State X assuming a tax rate of 15 percent.Note: Use an equally weighted three-factor apportionment. Round all apportionment factors to 4 decimalplaces. Round other answers to the nearest whole dollar amount. Leave no answer blank. Enter zero ifapplicable.

Sharon Incorporated is headquartered in State X and owns 100 percent of Carol Corporation, Josey Corporation, and Janice Corporation, which form a single unitary group. Assume sales operations are within the solicitation bounds of Public Law 86-272. Each of the corporations has operations in the following states:

Sharon Incorporated is headquartered in State X and owns 100 percent of Carol Corporation, Josey Corporation, and Janice Corporation, which form a single unitary group. Assume sales operations are within the solicitation bounds of Public Law 86-272. Each of the corporations has operations in the following states:

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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