Question
Starlord Enterprises, Inc. sells office goods, including customized pencils. Chris is a salesperson for Starlord whose territory includes California, Nevada, Oregon, and Arizona. Chris is
Starlord Enterprises, Inc. sells office goods, including customized pencils. Chris is a salesperson for Starlord whose territory includes California, Nevada, Oregon, and Arizona. Chris is very careful to follow all the rules that limit his activities to just solicitation of sales of the pencils. Starlords sales of pencils (Starlord is headquartered in Nevada which is where Chris lives and works when he is in the office) to California customers for 2017 were $2,000,000. Chris is on the verge of closing a new sale, in addition to the $2,000,000 in California, of $500,000. The buyer wants a quick conclusion to the sales process and requests that Chris authorize the sale immediately. Not wanting to lose the sale, Chris accepts the order and has his boss in Nevada authorize shipment to the customer while at the customers location in Sacramento. What will be the numerator for Starlords California sales factor?
a. $0
b. $500,000
c. $1,250,000
d. $2,500,000
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