Spiegel, Inc, has a catalog merchandise return facility in Nevada. Spiegel employs many phone operators for processing return requests, and merchandise is returned to the facility and stored there for later dispatch. The state of Nevada has proposed taxing Spiegel's full inventory based on the theory that it could have passed through the Nevada facility. Spiegel's main warehouse is in Chicago, Illinois. Nevada:
A) has the power to tax Spiegel's full inventory because of its location in the state.
B) has the power to tax Spiegel so long as all merchants in Nevada are taxed the same way.
C) has properly apportioned its tax since it only applies to inventory and not income.
D) does not have the authority under the U.S. Constitution to tax Spiegel's full inventory.
Question 2
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