Required information

Comprehensive Problem $12-51($LO $12-1,$ LO $12-2,$ LO $12-3)($Algo$)$

Skip to question

$[$The following information applies to the questions displayed below.$]$

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:

Domicile State Sharon Incorporated State X $($throwback$)$ Carol Corporation State Y $($throwback$)$ Josey Corporation State Z $($nonthrowback$)$ Janice Corporation State Z $($nonthrowback$)$

Dividend income $ $1,240$ $ $315$ $ $375$ $ $515$

Business income $69,20042,50016,20017,400$

Sales: State X $93,00010,90013,40013,500$

Sales: State Y $56,5005,600$

Sales: State Z $28,20027,75014,400$

Sales: State A $24,800$

Sales: State B $19,60014,500$

Property: State X $65,50022,10015,700$

Property: State Y $102,500$

Property: State Z $29,25028,750$

Property: State A $63,500$

Payroll: State X $14,30013,000$

Payroll: State Y $57,000$

Payroll: State Z $6,50011,500$

Payroll: State A $15,100$

Compute 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 $4$ decimal places. Round other answers to the nearest whole dollar amount. Leave no answer blank. Enter zero if applicable.

Comprehensive Problem $12-51$ Part a $($Algo$)$

a$.$ Calculate the State X apportionment factor for Sharon Incorated, Carol Corporation, Josey Corporation, and Janice Corporation

b$.$ Calculate the business income apportioned to State X$.$

Calculate the taxable income for State X for each company.

d$.$ Determine the tax liability for State X for the entire group.