Periwinkle Pty Ltd (Periwinkle) is a bathtub manufacturer which sells bathtubs directly to thepublic. On 1 May 2015, Periwinkle provided one of its employees, Emma, with a car as Emmadoes a lot of travelling for work purposes. However, Emma's usage of the car is not restrictedto work only. Periwinkle purchased the car on that date for $33,000 (including GST).For the period 1 May 2015 to 31 March 2016, Emma travelled 10,000 kilometres in the carand incurred expenses of $550 (including GST) on minor repairs that have been reimbursedby Periwinkle. The car was not used for 10 days when Emma was interstate and the car wasparked at the airport and for another five days when the car was scheduled for annual repairs.On 1 September 2015, Periwinkle provided Emma with a loan of $500,000 at an interest rateof 4.65%. Emma used $450,000 of the loan to purchase a holiday home and lent the remaining$50,000 to her husband (interest free) to purchase shares in Telstra. Interest on a loan topurchase private assets is not deductible while interest on a loan to purchase incomeproducingassets is deductible.During the year, Emma purchased a bathtub manufactured by Periwinkle for $1,300. Thebathtub only cost Periwinkle $700 to manufacture and is sold to the general public for $2,600.(a) Advise Periwinkle of its FBT consequences arising out of the above information, includingcalculation of any FBT liability, for the year ending 31 March 2016. You may assume thatPeriwinkle would be entitled to input tax credits in relation to any GST-inclusive acquisitions.(b) How would your answer to (a) differ if Emma used the $50,000 to purchase the sharesherself, instead of lending it to her husband?