6. Anna operates a child care service from her home. Her grossbusiness income for 2015 amounted to $42 350. Her tax-deductiblebusiness expenses consisted of the following: Advertising $1700Dues, memberships, subscriptions 520 Motor vehicle expenses 1115Supplies 582 Meals and entertainment 495 Other expenses 437 Annacan also deduct home expenses, such as utilities, property taxes,house insurance, mortgage interest, and maintenance for thebusiness use of a workspace in her home. The amount that may bededucted is a proportion of the total annual home expensesallocated to the workspace on a reasonable basis, such as area ornumber of rooms. Anna’s eligible home expenses for the year were:Heat $3750 Power 2480 Water 610 House insurance 1420 Maintenance1930 Mortgage interest 6630 Property taxes 3260 Other expenses 690The house covers 345 square metres and consists of eight rooms.Anna uses one room with an area of 45 square metres as her businessoffice. Questions a. What portion of her eligible home expenses mayAnna claim as tax-deductible expenses if the expenses are allocatedon the basis of i. area? ii. number of rooms? b. What is her netbusiness income if Anna allocates home expenses on the basis ofarea? c. For most individuals, basic federal income tax equals thefederal tax calculated according to Table below, lessnon-refundable tax credits. What is Anna’s basic federal income taxif she reports a non-refundable tax credit in 2015 of $11 138?