Last year, Yoshimi established an unincorporated robotics consulting business that she anticipates will have active business income of $200,000 during the coming year. Yoshimi has asked your advice as to whether she should incorporate this business from a tax perspective. The business will have no associated companies. Yoshimi anticipates that she would take out a salary of $76,000 (as this amount is needed for living expenses) and the remainder would remain in the corporation and paid out as dividends if needed. Yoshimi has maintained a job as her business becomes established and has employment income in excess of $230,000 per year. Because of this, any additional income that she earns will be subject to a combined federal/provincial tax rate of 47%. The provincial corporate tax rate is 4% on income that is eligible for the small business deduction and 11% on other income. In her province of residence, the dividend tax credit is equal to 1/4 of the dividend gross-up for all dividends. Required: A. Compute the after-tax cash retained in the coming year: i. on the $200,000 earned personally, and ii. that would be retained if the business was incorporated and Yoshimi took out a salary of $76,000 and the remainder as dividends. B. Compare the total after-tax cash retained by using a corporation compared to when the income is earned directly by Yoshimi to determine the income tax cost or savings to Yoshimi if the business is incorporated. In one sentence, explain what this means. 10 marks will be deducted if you ramble on without getting to the point. C. Quantify any tax deferral that will be available on income (i.e. the dividends) left in the corporation after paying the salary. Provide a recommendation as to what you believe Yoshimi should do, based on your analysis.