AIT Final Exam Review – Administrator in Training Long-Term Care Administration
Comprehensive Study Guide
Which of the following is true regarding state and local taxes? - ✔✔The primary purpose of
state and local taxes is to raise revenue.
Which of the following statements regarding income tax commercial domicile is incorrect? -
✔✔The location where a business is incorporated.
Which of the following regarding the state tax base is incorrect? - ✔✔It applies only to
interstate businesses.
Which of the following businesses is likely to have taxable sales for purposes of sales and use
tax? - ✔✔Campus bookstore selling textbooks and university apparel
Mighty Manny, Incorporated, manufactures ice scrapers and distributes them across the
midwestern United States. Mighty Manny is incorporated and headquartered in Michigan. It has
product sales to customers in Illinois, Indiana, Iowa, Michigan, Minnesota, and Wisconsin. It has
sales personnel only in the states discussed and all these states have adopted Wayfair
legislation. Determine the state in which Mighty Manny does not have sales and nexus given the
following scenarios: - ✔✔Mighty Manny has two customers in Wisconsin. Mighty Manny
receives $50,000 on 20 orders over the phone and ships goods to its customers using FedEx.
What was the Supreme Court's holding in Complete Auto Transit? - ✔✔Provided four criteria
for determining whether states may subject nondomiciliary
Which of the following is an income-based tax? - ✔✔Wisconsin corporate tax
Della Corporation is headquartered in Carlisle, Pennsylvania. Della has a Pennsylvania state
income tax base of $427,500. Of this amount, $75,500 was nonbusiness income. Della's
Pennsylvania apportionment factor is 28.52 percent. The nonbusiness income allocated to
Comprehensive Study Guide
Which of the following is true regarding state and local taxes? - ✔✔The primary purpose of
state and local taxes is to raise revenue.
Which of the following statements regarding income tax commercial domicile is incorrect? -
✔✔The location where a business is incorporated.
Which of the following regarding the state tax base is incorrect? - ✔✔It applies only to
interstate businesses.
Which of the following businesses is likely to have taxable sales for purposes of sales and use
tax? - ✔✔Campus bookstore selling textbooks and university apparel
Mighty Manny, Incorporated, manufactures ice scrapers and distributes them across the
midwestern United States. Mighty Manny is incorporated and headquartered in Michigan. It has
product sales to customers in Illinois, Indiana, Iowa, Michigan, Minnesota, and Wisconsin. It has
sales personnel only in the states discussed and all these states have adopted Wayfair
legislation. Determine the state in which Mighty Manny does not have sales and nexus given the
following scenarios: - ✔✔Mighty Manny has two customers in Wisconsin. Mighty Manny
receives $50,000 on 20 orders over the phone and ships goods to its customers using FedEx.
What was the Supreme Court's holding in Complete Auto Transit? - ✔✔Provided four criteria
for determining whether states may subject nondomiciliary
Which of the following is an income-based tax? - ✔✔Wisconsin corporate tax
Della Corporation is headquartered in Carlisle, Pennsylvania. Della has a Pennsylvania state
income tax base of $427,500. Of this amount, $75,500 was nonbusiness income. Della's
Pennsylvania apportionment factor is 28.52 percent. The nonbusiness income allocated to
