Sharon Inc. is headquartered in State X and owns 100 percent of Carol, Josey, and Janice Corps, 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:

Compute the following for State X assuming a tax rate of 15 percent.

a. Calculate the State X apportionment factor for Sharon Inc., Carol Corp., Josey Corp., and Janice Corp.

b. Calculate the business income apportioned to State X.

c. Calculate the taxable income for State X for each company. (Leave no answer blank. Enter zero if applicable.

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

Sharon Inc. State X (throwback)

Carol Corp State Y (throwback)

Josey Corp State Z (nonthrowback)

Janice Corp State Z (nonthrowback)

Dividend income

$

1,460

$

295

$

610

$

520

Business income

$

52,200

$

32,500

$

18,100

$

19,000

Sales: State X

$

88,200

$

13,500

$

16,400

$

16,800

State Y

$

45,250

$

8,700

State Z

$

23,100

$

44,250

$

16,800

State A

$

29,500

State B

$

19,300

$

19,000

Property: State X

$

72,500

$

26,800

$

13,000

State Y

$

97,500

State Z

$

41,500

$

35,750

State A

$

60,500

Payroll: State X

$

15,100

$

18,900

State Y

$

58,750

State Z

$

5,650

$

16,200

State A

19,700