This part contains one question. Show all of your steps and calculations. You must also provide explanations for decisions you make in the process of your calculations. Your answer should be in paragraph form. You should refer to legislation in support of your choices, where appropriate.

Krish and Ishika married seven years ago.They have just separated. Using the following facts:

(a) Calculate the net family property of each spouse.

(b) Calculate the equalization payment, and indicate who will be making it.

Krish's financial situation:

At the date of the marriage

• He had $50,000 which he inherited from his mother
• He had a rental property worth $200,000, subject to a mortgage of $75,000
• He had a stamp collection worth $10,000

During the marriage

• He invested his inheritance in Google shares

At the date of separation

• He continues to own the rental property, which is now worth $250,000, subject to a $60,000 mortgage
• He continues to own Google shares, now worth $70,000.
• He suffered a work related accident and received 85,000 in damages
• He continues to own the stamp collection, now worth $5,000

Ishika's financial situation

At the date of the marriage

• Ishika had a house worth $190,000, which she inherited from her father
• She owned $10,000 in Yahoo shares
• Ishika owed $25,000.00 on her Visa credit card

During the marriage

• She and Krish lived in the house.
• Ishika inherited 100,000.00, which she invested in the matrimonial home.

At the date of separation

• Ishika and Krish lived in the house throughout their marriage. The house is now worth $500,000
• Ishika continues to own Yahoo shares, now valued at $15,000
• Ishika has a bank account worth $10,000.