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Sally spends $1,500 each month on her mortgage, mortgage insurance and property taxes. She has three credit cards with minimum monthly payments that total to $125.00 and a monthly car payment for $349.00. She currently brings in a gross monthly income of 3,750.00 from her job. Calculate Sally’s debt-to-income (DTI) ratio. a. 40% b. 43% c. 49% d. 53%

Verified Answer :

rarrininger

$1500 + $125 +$349 =$1974
$1974/$3750=.5264 = 53%

d. 53%

lhmarianateixeira

In this exercise we have to use the knowledge of finances to calculate the value of the DTI that will be equal to 53%.

So organizing the information given in the statement we have that:

  • Sally spends $1,500 each month
  • Monthly payments that total to $125.00
  • Monthly car payment for $349.00
  • Monthly income of 3,750.00

Now arranging mathematically, we find that:

\(\$1500 + \$125 +\$349 =\$1974\\\$1974/\$3750=0.5264 = 53\%\)

See more about finances at brainly.com/question/10024737

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