State Q Has Adopted Sales-Factor-Only Apportionment for Its Corporate Income

question 56

Short Answer

State Q has adopted sales-factor-only apportionment for its corporate income tax. As a result, a
(larger/smaller) percentage of an out-of-state corporation's income is assigned to tax in the state.

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Definitions:

Fructose-1,6-bisphosphate

An important sugar molecule involved in glycolysis, the metabolic pathway that converts glucose into pyruvate, releasing energy.

Phosphate Groups

Chemical groups containing one phosphorus atom bonded to four oxygen atoms, important for energy transfer and storage in cells.

Glycolysis

Glycolysis is the metabolic pathway that breaks down glucose into pyruvate, generating ATP and NADH as energy sources for the cell, occurring in the cytoplasm of cells.

NADH Molecules

Nicotinamide adenine dinucleotide (NAD) plus hydrogen (H), an important coenzyme in the body that plays a key role in the energy production process within cells through redox reactions.