@ Barbara - regardless of where it is, you do not want to spend time/money/effort installing tile (it's hard enough to install properly let alone install it the wrong way = redo) over a substrate that is not fit to sit underneath tile. If you are not sure what the parquet is (veneer over something) then remove it. It is a closet. It is a small space. Go ahead and remove the old parquet and then use cement backer board to RAISE THE HEIGHT of the floor to match what currently exists. It is that simple. The 'easy install' will turn into an expensive 'second attempt' within a year. It isn't worth it. For me, I would simply wait until my hubby left the house and then I would demolish the closet floor so there would be NO possible way the 'bad install' could happen. It would force the issue before it became an issue. Do your marriage a favour - remove the parquet while no one's looking.

Laughing at the chicken wire comment. Only walker zanger could make a tile that looks like chicken wire (and make you pay through the nose for it). Now I really may have to switch to the herringbone back-up tile I posted above! (Skippack-orientation question was about the “paddle” tile in the first post. Herringbone tile shown a couple posts above is my back up and I agree I would not do it “sideways”).

Absolutely go with 1/16" grout lines - you won't regret it....the look is fabulous! I researched HOUZZ to death when doing our basement 4 years ago and chose 6x36" porcelain wood look tile, and 1/16" was suggested by the pros and by our amazing professional tile installer. So very thankful!! Helpful Hint: it is a bit more challenging to lay and time consuming, so make sure your tile installer has done it before.

Horizontal sounds good t me. If you had real wood planks they would be a lot longer than 36" and you would cut the ends. Make sure you have a skilled tile installer who can lay this out first, then cut. The cuts should be in the corners so it doesn't matter. Your real challenge is going to be making sure the variety of designs on the tile look right since you're cutting off a lot of design that was intended to make it look right. That can be accommodated by a skilled tile installer who knows to look for that. You'll also have a lot of waste to make it look right, but it will be worth it. BTW, not so odd to have the vanity in the bedroom in houses built in the 80's. It was a thing for some reason. Didn't seem very functional to me, but in my past I looked at a lot of houses that had that. Good luck on your project.