Boot Corporation is subject to income tax in States A and B.Boot's operations generated $1,200,000 of apportionable income,and its sales and payroll activity and average property owned in each of the states is as follows.

How much more (less)of Boot's income is subject to A income tax if,instead of using an equally-weighted three-factor apportionment formula,A uses a formula with a double-weighted sales factor?

Question

Boot Corporation is subject to income tax in States A and B.Boot's operations generated $1,200,000 of apportionable income,and its sales and payroll activity and average property owned in each of the states is as follows.

How much more (less)of Boot's income is subject to A income tax if,instead of using an equally-weighted three-factor apportionment formula,A uses a formula with a double-weighted sales factor?

Quizplus · Accepted Answer

Income apportioned to A if sales factor is double-weighted
 11ea7f05_2eac_298a_92e1_3bca38eec4a0_TB4123_00 
Income apportioned to A if apportionment factors are equally weighted
 11ea7f05_2eac_509b_92e1_5b901b8d99ff_TB4123_00

Boot Corporation Is Subject to Income Tax in States a and B.Boot's