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Level 1 - ILVANLA
The answer to this puzzle is:
Words: LANAI, LIANA, VINAL, NIVAL, VAIL, NALA, VILL, VINA, ANIL, LAIN, ALAN, NIL, LIN, ANI, AIL, VIA
Bonus words:
LANAI, LIANA, VINAL, NIVAL, VAIL, NALA, VILL, VINA, ANIL, LAIN, ALAN, NIL, LIN, ANI, AIL, VIA