Helene Corporation’s income apportioned to State A is determined by what factor?

Helene Corporation’s income apportioned to State A is determined by the three-factor equal weighting method. This approach involves three key factors: sales, payroll, and property. Each of these factors contributes equally to the overall formula used to apportion income to the state.

Using this method allows the corporation to reflect a more balanced view of its business operations across different states. It recognizes that a company's income-generating activities are influenced by its presence in multiple areas, which includes not just where sales occur, but also where employees work and where property is located. Each factor is typically weighted equally, meaning that sales, payroll, and property each contribute one-third to the apportionment calculation.

The double-weighted sales factor would give more emphasis to sales relative to the other factors, which may not present a comprehensive view of the company's activities in the apportioning state. Similarly, payroll-only and single-factor based on payroll approaches would ignore crucial elements of the business operation related to sales and property, potentially skewing the income apportionment to State A. This comprehensive method ensures a fairer basis for taxation, as it captures the diverse contributions of different operational locations.