You Are Completing the State a Income Tax Return for Quaint

question 94

Essay

You are completing the State A income tax return for Quaint Company, LLC. Quaint operates in various states, showing the following results. $\begin{array}{lr}\text { Ordinary income } & \$ 800,000 \\\text { Net capital loss } & (60,000) \\\text { Interest income, IBM bond } & 40,000\end{array}$ In A, all interest is treated as apportionable income. A uses a sales-only apportionment factor. Compute Quaint's A taxable income.
​ $$\begin{array} { l r r r } & \text { State A } & \text { All Other States } & \text { T otal } \\\text { Sales } & \$ 800,000 & \$ 1,200,000 & \$ 2,000,000 \\\text { Property (average cost) } & 250,000 & 2,000,000 & 2,250,000 \\\text { Payroll } & 300,000 & 700,000 & 1,000,000\end{array}$$

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Definitions:

Proactive Inhibition

The decrease in the ability to learn new information because previously learned information interferes with the new learning.

Retroactive Inhibition

The phenomenon where newer information interferes with the ability to recall older information.

Interference

A phenomenon where one's ability to learn or recall information is hindered by either the presence or the processing of other information.

Episodic Memory

A subtype of long-term memory that involves the recollection of specific events, situations, and experiences from one's past.