ardering Problem 20 ITA: Division B, C The following tax information is extracted from Mrs. Hawkins' books and records: Employment income (before effects of items below) Interest income. $72,000 5,000 9,900 1,000 Capital gains (on securities) Deductible carrying charges The following balances are losses carried forward from December 31, 2019: Non-capital loss arising - 2014 2015 2018 $24,000 26,000 28,000 Total non-capital losses. $78,000 Net capital loss arising in 2019 $12,000 During the latter part of 2020, Mrs. Hawkins moved from Montreal to Toronto to commence working for Leaves Co. Ltd. She received a $100,000 housing loan from Leaves Co. Ltd., which she used to help purchase a house in Toronto. Mrs. Hawkins received the interest-free loan on October 1, 2020. Mrs. Hawkins previously worked for Les Habitants Co. Lte (a public company). Prior to leaving Les Habitants Co. Lte on April 15, Mrs. Hawkins exercised the stock option that she held in Les Habitants Co. Lte. Mrs. Hawkins was able to purchase 2,000 listed common shares of Les Habitants Co. Lte for 4 per share (the fair market value of the shares at the time the option was granted). The shares were trading at $10 per share at the time she exercised her option to purchase the shares. Assume that the prescribed interest rate for the last quarter of 2020 is 1%. Dicialculate Mrs. Hawkins' income and taxable income in 2020, in accordance with the ordering rules Divisions B and C. Ignore any effects of any leap year. Problem 21 ITA: 3, 111, 11