State E applies a throwback rule to sales, while State F does not State G has not adopted an income tax to date Clay Corporation, headquartered in E, reported the following sales for the year All of the goods were shipped from Clays E manufacturing facilities a Determine Clays sales factor in those states b Comment on Clays location strategy using only your tax computations Customer Customer's Location This Year's Sales ShellTell, Inc $ 75,000,000 E Tourists, Ltd F 40,000,000 PageToo Corp 100,000,000 $215,000,000 Total

Question: State E applies a throwback rule to sales, while State F does not. State G has not adopted an income tax to date. Clay Corporation,

State E applies a throwback rule to sales, while State F does not. State G has not adopted an income tax to date. Clay Corporation, headquartered in E, reported the following sales for the year. All of the goods were shipped from Clay’s E manufacturing facilities.

Customer Customer's Location This Year's Sales ShellTell, Inc. $ 75,000,000 E Tourists, Ltd. F 40,000,000 PageToo Corp. 100,000,000 $215,000,000 Total

a. Determine Clay’s sales factor in those states.

b. Comment on Clay’s location strategy using only your tax computations.

Customer Customer's Location This Year's Sales ShellTell, Inc. $ 75,000,000 E Tourists, Ltd. F 40,000,000 PageToo Corp. 100,000,000 $215,000,000 Total

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