Best way to renovate bathroom floor

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Q: I live in a 1938 cottage that my father remodeled in the late 1970s. He made the unfortunate choice of slapping carpet down over the existing bathroom tile and subfloor. The subfloor is exposed because Dad moved the locations of the toilet, tub and sink. I want to get the smelly, moldy, disgusting carpet out of there, but I'm not sure what to replace it with. Here's why: Dad put the molded sink top onto the body of our old hi-fi cabinet, then caulked the sink top to the wall. He fitted the hi-fi cabinet over what I think is a wooden platform (covered with carpet, of course!), so I can't get to the flooring underneath it. I'm not ready to change the sink and cabinet because I'm on a tight budget. I would like a tile floor, and I'm wondering if I should just buy enough extra tile to put it down in that corner when I finally can afford to change the sink cabinet, and tile to the edges of the cabinet for now. Or would it be better and less permanent for me to put down vinyl or somet...