Lyndsay is a ballet teacher and she gives ballet lessons in her home. She uses 3 the basement in her home exclusively for her ballet business. The basement is 300 sq. feet and her entire home is 1,500 sq. feet. Lyndsay has the following items of income and expense from her business: Income - $75,000 Real Property taxes $10,000 Mortgage interest $ 35,000 Depreciation on house $15,000 Business Expenses directly attributable to business $60,000 Operating expenses of house $6,000 What is Lyndsay's net income from the property? Does she have anything to carry over? Should she use the regular method or the simplified method in computing her income?