Jung Corporation operates in States A and B as indicated below. All goods are manufactured in State A. Determine the sales to be assigned to both states in computing Jung’s sales factor for the year. Both states follow the UDITPA and the MTC regulations in this regard.

Transcribed Image Text:

Sales shipped to State A locations Sales shipped to State B locations Interest income from Jung's State B business checking accounts Rent income from excess space in State A warehouse Interest income from Treasury bills in Jung's State B brokerage account, holding only idle cash from operations One-time sale of display equipment to State B purchaser (tax basis $90,000) Royalty received from holding patent, licensed to State B user $300,000 500,000 5,000 40,000 65,000 75,000 90,000