QUESTION 2 Michael Sligo purchased a house on 1 July 2015, which he later sold on 30 June 2020. The property has been rental property for Michael's entire ownership period. Details of the purchase price of the property and its associated expenses are provided below: purchase price of house $250,000 (construction cost could not be obtained) stamp duty on loan $1,000 stamp duty on transfer paid on purchase $14,500 legal fees on purchase of property $3,500 Repair expenses (gutter repaired on 8 July 2015) $2,800 Interest deductions claimed (entire period) $64,200 council rates deductions claimed (entire period) $24,000 installation of new garage (installed on 1/7/16) $35,000 insurance expense (entire period) $10,080 * real estate agent's fees on sale $9,100 4 0 8 # Required: Advise Michael which of the above items are to be included in the cost base of the house. Provide reasons for any items excluded from the cost base.