taxation question please show the calculations

Required: Calculate Kristy's net business income for 2020. Enter the amount of revenue that is taxable, and the amount of expenses that are allowed for tax purposes into the blue answer boxes provided. - If an expense is fully allowed, enter the entire amount. - If an expense is NOT allowed, leave the space blank. - If an expense is allowed, but is a different amount use the "Space for calculations if required" to show your work SPACE FOR CALCULATIONS IF REQUIRED. 1 mk 1 mk Revenue: Kristy operates a successful photography business. Her current year revenue is $80,000, including amounts receivable of $4,000. Expenses: Accounting and Legal (Note 1) 4,000 1 mk CA Anda 8 10 11 12 13 14 15 16 17 18 19 Expenses: Accounting and Legal (Note 1) Advertising and promotion Automobile expenses (Note 2) Bad debts (Note 3) Depreciation (Note 4) Insurance (Note 5) Interest on the bank loan Meals and Entertainment Office expenses (Note 6) Wages and benefits (Note 7) Capital cost allowance (see table below) 4,000 5,000 7,000 1,000 26,000 3,100 1,920 2,200 4,100 14,000 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 20 21 22 23 1 mk 1 mk Total expenses Net business income 1. Accounting and legal include legal fees related to Kristy's dispute with regard to a personal car accident in the amount of 2000 1. Accounting and legal include legal fees related to Kristy's dispute with regard to a personal car accident, in the amount of $2,000 24 25 26 27 2. Kristy kept a mileage log and drove 14,000km of a total of 23,000km for business purposes. Her automobile expenses for the 23.000km is $7.000. 3. Kristy has set up an allowance for doubtful accounts based on a review of the Accounts Receivable on December 31 of the current year. This is a procedure that she had follows every year. 28 29 30 4. Kristy has estimated her depreciation expense, but has provided the undepreciated capital cost (UCC) at December 31 of the prior year. Class 8 (20%) - Note 3 21,700 Class 50 (55%) - Note 6 8,000 31 32 33 During 2020, Kristy purchased new equipment for $4,000. She disposes of equipment for $2,800 which had an original cost of $3,600. A CCA schedule is provided below. 34 During 2020, Kristy purchased new equipment for $4,000. She disposes of equipment for $2,800 which had an original cost of $3,600. A CCA schedule is provided below. 4 5 5. The life insurance premiums for Kristy is $970. This insurance is required as collateral for the business bank loan. The remaining Insurance is liability and asset insurance. 6. Office expenses include the purchase of a computer, on January 15 of the current year, for $2,000. 7. Wages and benefits include the club dues/membership fees paid to the Royal Oak Club in the amount of $4,100. Kristy uses the membership to take clients for photoshoots. Class 8 Class 50 Enter disposals and CCA as negative amounts. Class UCC at the beginning of the period Add: Additions Deduct: Disposals Add: Accll Adj. (deduct 1/2 year rule, Class 12) Subtotal = CCA base Class B Class 50 Enter disposats and negative amounts Class UCC at the beginning of the period Add: Additions Deduct: Disposals Add: Acell Adj. (deduct 1/2 year rule, Class 12) SubtotalCCA base Rate() Deduct: Capital cost allowance Deduct: Acell Adj. or Add: 1/2 year rule (class 121 UCC at the end of the period Ensure you record the number, required, above. 2 m If you choose NOT to calculate CCA in the table that is allowed. Please calculate CCA in the space below and Input your numbers into the blue boxes on line 50 Required: Calculate Kristy's net business income for 2020. Enter the amount of revenue that is taxable, and the amount of expenses that are allowed for tax purposes into the blue answer boxes provided. - If an expense is fully allowed, enter the entire amount. - If an expense is NOT allowed, leave the space blank. - If an expense is allowed, but is a different amount use the "Space for calculations if required" to show your work SPACE FOR CALCULATIONS IF REQUIRED. 1 mk 1 mk Revenue: Kristy operates a successful photography business. Her current year revenue is $80,000, including amounts receivable of $4,000. Expenses: Accounting and Legal (Note 1) 4,000 1 mk CA Anda 8 10 11 12 13 14 15 16 17 18 19 Expenses: Accounting and Legal (Note 1) Advertising and promotion Automobile expenses (Note 2) Bad debts (Note 3) Depreciation (Note 4) Insurance (Note 5) Interest on the bank loan Meals and Entertainment Office expenses (Note 6) Wages and benefits (Note 7) Capital cost allowance (see table below) 4,000 5,000 7,000 1,000 26,000 3,100 1,920 2,200 4,100 14,000 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 1 mk 20 21 22 23 1 mk 1 mk Total expenses Net business income 1. Accounting and legal include legal fees related to Kristy's dispute with regard to a personal car accident in the amount of 2000 1. Accounting and legal include legal fees related to Kristy's dispute with regard to a personal car accident, in the amount of $2,000 24 25 26 27 2. Kristy kept a mileage log and drove 14,000km of a total of 23,000km for business purposes. Her automobile expenses for the 23.000km is $7.000. 3. Kristy has set up an allowance for doubtful accounts based on a review of the Accounts Receivable on December 31 of the current year. This is a procedure that she had follows every year. 28 29 30 4. Kristy has estimated her depreciation expense, but has provided the undepreciated capital cost (UCC) at December 31 of the prior year. Class 8 (20%) - Note 3 21,700 Class 50 (55%) - Note 6 8,000 31 32 33 During 2020, Kristy purchased new equipment for $4,000. She disposes of equipment for $2,800 which had an original cost of $3,600. A CCA schedule is provided below. 34 During 2020, Kristy purchased new equipment for $4,000. She disposes of equipment for $2,800 which had an original cost of $3,600. A CCA schedule is provided below. 4 5 5. The life insurance premiums for Kristy is $970. This insurance is required as collateral for the business bank loan. The remaining Insurance is liability and asset insurance. 6. Office expenses include the purchase of a computer, on January 15 of the current year, for $2,000. 7. Wages and benefits include the club dues/membership fees paid to the Royal Oak Club in the amount of $4,100. Kristy uses the membership to take clients for photoshoots. Class 8 Class 50 Enter disposals and CCA as negative amounts. Class UCC at the beginning of the period Add: Additions Deduct: Disposals Add: Accll Adj. (deduct 1/2 year rule, Class 12) Subtotal = CCA base Class B Class 50 Enter disposats and negative amounts Class UCC at the beginning of the period Add: Additions Deduct: Disposals Add: Acell Adj. (deduct 1/2 year rule, Class 12) SubtotalCCA base Rate() Deduct: Capital cost allowance Deduct: Acell Adj. or Add: 1/2 year rule (class 121 UCC at the end of the period Ensure you record the number, required, above. 2 m If you choose NOT to calculate CCA in the table that is allowed. Please calculate CCA in the space below and Input your numbers into the blue boxes on line 50