Last year, reggie, a los angeles, california resident, began selling autographed footballs through trojan victory (tv), incorporated, a california corporation. tv has never collected sales tax. last year tv had sales as follows: california ($100,000), arizona ($10,000), oregon ($15,000), new york ($50,000), and wyoming ($1,000). most sales are made over the internet and shipped by common carrier. how much sales tax should tv have collected in each of the following situations:
a) california treats the autographed football as tangible personal property subject to an 8.25 percent sales tax. answer for california.
b) california treats the autographed football as part tangible personal property ($50,000) and part services ($50,000) and tangible personal property is subject to an 8.25 percent sales tax. answer for california.
c) tv has no property or other physical presence in new york (10.25 percent) or wyoming (5 percent). answer for new york and wyoming.
d) tv has reggie deliver a few balls to fans in arizona (5.6 percent sales tax rate) and oregon (no sales tax) while attending football games there. answer for arizona and oregon.
e) related to part d, can you make any suggestions that would decrease tv’s arizona sales tax liability?

a) $8,250 b) $4,125 c) No sales tax or use tax liability d) $560 e) No sales tax or use tax liability would be accrued.

Explanation:

a) $100,000 x 8.25% = $ 8,250 (California had $100,000 sales and 8.25 % sales tax)

b) $50,000 x 8.25% = $4,125

c)As TV lacks physical presence in New York and Wyoming, therefore, it would have no sales tax or use tax liability.

d)$10,000 x 5.6% sales = $560. TV would have tax liability in Arizona but not in Oregon.

e) If TV shipped through common carrier to its clients in Arizona other than from having Reggie deliver them, then no sales tax would occur. However, customer's would still be subjected to the Arizona state use tax liability.

steering wheels are always situated on the left side of the car.

always drive on the right side of the road.

white lines separate lanes of traffic traveling the same direction.

hashed or broken lines means you may change lanes when it is safe.

solid white lines mean stay in your lane.

yellow lines separate traffic moving in opposing directions.

hashed or broken yellow lines mean you can carefully pass, paying attention to oncoming traffic.

never cross a solid yellow line (or double yellow line).

when turning left at an intersection, pass in front of any cars that are turning left from the opposing direction (do not try to pass behind them).

use the left lane to pass other cars traveling your direction.

do not pass in the right lane unless absolutely necessary.

if you are driving in the far left hand lane and someone would like to pass you, move over to the right lane when it is safe to do so and allow them to pass.

you must always yield to pedestrians.

come to a complete stop whenever you see pedestrians trying to cross the street.

never pass a school bus if it has flashing red lights. wait until the lights have stopped.

be aware of bicyclists. often they share the road with cars and are supposed to also follow general traffic laws.

be particularly careful about driving in cities with bike lanes -- always check before turning that a bike is not coming.

it is mandatory to pull over or stop at an intersection to allow an emergency vehicle to pass you if you see one traveling with lights flashing and/or a siren running.

do not overuse your car horn. horns are used almost exclusively for emergency situations or for when you feel unsafe.

explanation: