Question 2 Eric operates his own computer repair and network support business, Tech-Wizard. Tech Wizard has branches across Brisbane and Melbourne, and key clients in all of the capital cities of Australia. In this question, the effective useful life of all assets is 5 years. Eric has a general small business pool with an opening balance as at 1 July 2019 of $285,000. During the 2019-2020 income year, he received $1,050,000 from clients for repairs made to their computers, and $2,450,000 from network support contracts he has with his key clients. During the 2019-2020 income year, he incurred the following expenses: Staff salaries $470,000 Superannuation guarantee payments to staff members' elected super funds $44,650 Black T-shirts for his staff members to wear to work $3,800 $600 A new paid of RM Williams boots for him to wear to meetings with clients Internet, telephone charges $260,000 Rent and utilities for business premises $680,000 Annual software licence renewal fee, paid on 1 June 2020, to use the software from 1 July 2020 to 30 June 2021 $120,500 Purchase cost incurred on 1 October 2019, for a 3D-printer used to manufacture computer parts to complete repairs to clients' computers $12,000 Purchase cost incurred on 1 April 2020, for a multi-network-compatible computer server to provide network support to his key clients $368,000 Purchase cost incurred on 15 January 2020, for a new car, a station wagon, to carry all his equipment when he goes out to visit clients $55,000 Eric maintained a log book and it indicated that the station wagon travelled 15,000 kilometres in total in the 2019-2020 income year and that his business use of the car was 25%. Eric incurred the following running expenses for this car: LAWS3101: Tutorial 5 Registration $920 Insurance, services $580 Fuel $3,200 Traffic fines $600 You are required to: Calculate Eric's taxable income for the 2019-2020 income year. Show all your calculations and provide reasons for your answers, referencing relevant sections and divisions of the Income Tax Assessment Acts, relevant case law and relevant ATO documents