Part 1 Fleming Distribution is the registered name of a business, carried on by Joaquin Fleming as a sole proprietorship, that distributes a wide variety of health aid products to retailers. Joaquin's spouse, Jordyn Fleming, is an avid golfer with no interest or experience in business matters. For the taxation year ended December 31, 2021, the accountant calculated a pre-tax accounting income for Fleming Distribution of $273,400. In calculating this amount, Mr. Fleming's accountant relied on generally accepted accounting principles except for the fact that no provision is made at the end of the year for anticipated doubtful debts. Other information related to the 2021 year is as follow 1. In the previous year, a resene for bed detts was dedated terecome tax purposes a she amount af 515200. For accounting purposes only the actual 2021 write-offs of $17.800 were deducted. The accountant for that an appropriate reserve to be deducted for tax purposes at the end of 2001 would be $18.700 2. Accounting income included a deduction for amortization in the mount of $78.700 The accountant hen determined that the maximum CCA for 2021 would be $123.700 3. The following terms were included in the accounting expenses. Cost of advertising in a foreign newspaper that is distributed in Canada 2.300 Donations to registered charities Cost of appraisal on real estate to be sold 1.460 Costs of landscaping work done on the grounds of Mr. Fleming's principal residence 5.250 Management fee to Mrs. Jordyn Fleming 125.200 4. As the business is not incorporated to income taxes were deducted in determining set income Required Calculate the minimum business income for Fleming Distribution that will be included in Mr. Fleming's income tax return for the year ending December 31, 2021. Part 2 Aaron Hill is the sole shareholder of Hill Enterprises Ltd., a small retail shop selling locally made arts and crafts. The shop has been in operation for several years and has a calendar fiscal year. Aaron provides you with the Income Statement for the corporation for December 31, 2020. for the Dec2020 40.00 Costosa Opening Story 2.000 2020 Closing story Tol Cost of Goods Sold Ees Accipe Note Advertising and prin Deprecate 21.00 Baddest Ne 700 Office Resep Wapes and see Ne 2100 Notes to the financial statements Hill Enterprises Ltd. is a small business corporation operated by the sole shareholder, Aaron Hill. 2. Accounting and legal includes legal fees related to Aaron's dispute in regards to a personal car accident in the amount of $1,200. 2. Advertising and promotion includes "Meals and Entertainment' costs in the amount of $3,500. Information for Capital Cost Allowance (CCA) purposes-the CCA for 2020 was as follows: Class 8 Office & General Equipment): $8,800 Class 10 (Automotive Equipment): $7,500 * The company has set up an allowance for doubtful accounts based on a review of the Accounts Receivable at December 31 of the current year. This is a procedure that the proprietorship follows every year. Insurance includes life insurance premiums for Aaron Hill in the amount of $2,600. This life insurance policy is required as collateral for the business bank loan. Office expenses include the $4,500 purchase of laptop computers on January 15, 2020. Wages and benefits includes the club dues/membership fees paid to the Royal Oak Club in the amount of $6,000. The club dues are paid for the five managers who take clients to the Royal Oak Club on a regular basis for business purposes. Required Calculate the net business income for Hill Enterprises Ltd. for 2020