mrs. mccaskill: mr. president, i ask the right to object to the request made by the senator from utah to amend my request. and i would say that within my request, there is in fact the opportunity to vote. and he had the opportunity to offer an amendment on the debt ceiling in the budget, and he did not. mrs. mccaskill: i certainly thank my colleague from arizona, and i reserve my unanimous -- i renew my ask -- renew my unanims consent motion. the presiding officer: is there objection to the modified request? mrs. mccaskill: there is an objection to the modified request. ms. stabenow: i'm not trying to object, i do have for purposes of colleagues who want to speak next that once the debate is done senator feinstein and senator mccain have 15 minutes to discuss a farm bill amendment. the presiding officer: without objection. is there objection to the original request? mr. lee: mr. president, reserving the right to object. the presiding officer: the senator from utah. mr. lee: for 61 days my colleagues and

. >> thank you very much, senator mccaskill. >> mr. rman, let me kind of pick up where senator mccaskill left off there. this is complex, and it has to do with how do you allocate income? what kind of transfer price is an appropriate price. i did notice that your u.s. sales are about 39% of your total sales. international is about 61%. so u.s. is about 39% and you had 35%. international sales 61% and 65% of income. can you explain that? that's pretty close. if i were to take a look at that, you're getting pretty darned close, i would think, to proper allocation between sales and income. can you explain that disparity? >> sure, senator. and i'll make some comments and pass it to peter. generally apple's mcintosh business is a larger percentage of its sales in the u.s. than internationally. as we launched the iphone, iphone became a larger percentage of our international business than it did a part of our u.s. business because we had this nice base of mcintosh sales in the u.s. the iphone generally speaking has higher gross margins than o

mccaskill. senator johnson. >> thank you, mr. chairman. let me pick up where senator mccaskill. this is complex. how do you allocate income, what kind of transfer ices include an appropriate price. i did notice that this is 39% of your total sales, the u.s. sales are about 39% and you have income of about 39% in the united states. about 65% of income. please explain that great it is to close. you're getting pretty close to proper allocations between sales and income. can you explain the disparity? >> yes, i will make some comments and may be able to add something. generally the macintosh business -- it is a larger percentage that is at sale in the u.s. and internationally read as we launch the iphone, the iphone became a larger percentage of our international business and the dead is part of the u.s. business. because we have this nice base. the iphone generally speaking has higher margins and so it is logical that the international business generally would carry higher margins than we may be able to add something to this. >> you have a profitable mix? >> yes, it does. it explai

this debate starting with senator claire mccaskill is just over an hour. >> mr. president, i raced to make unanimous consent motion. i want to make a few remarks first-period at the risk of being patronizing to my colleagues about the constitution, i would like to give a basic lesson in the constitution this morning. my understanding is founding fathers devised a system for the house of representatives house of representatives and the senate. they have to agree before something becomes law. this is an amazing decision that our founding fathers make. it requires that the senate for all the circus and presented whole state has to reach an agreement with our colleagues in the house who have much smaller constituents these therefore targeted more towards one specific area than some of us are. i listened to lecture after lecture from my colleagues across the aisle. it's almost as if some of you think you're the only one that's rad are the only one that understands that. well, you're not. here's how the constitution works. when we pass a bill, we go to conference and w

mr. chairman. >> thank you very much. senator mccaskill. >> i have two things to say. --i love apple.i love apple. on harassed my husband until the converted to a mac book. i use it. .t is a huge part of my life i am very proud of apple as an american company. i will say i have the the factty to witness that we're capable of classic bipartisanship in the united states send. i don't think senator mccain gets enough credit to say things that we establish that we're capable class seat moments. i wanted to publicly and knowledge senator john mccain for that moment. notve questions about this, because i think apple is the villain. code is utilizing the tax that we've given them. make sure that we are receiving enough taxes to fix our roads and bridges, to help educate our kids, to remain a country that is seen as the bright and shining light on the hill. we have to make sure we have a tax structure that supports those goals. i think we can do both and i appreciate you for holding this hearing. i look forward to the next panel. >> thank you a very much, senator mccaskill. professor shay, yo