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1) What is the monthly mortgage payment on a

$200,000 mortgage amortized over 30 years?

Over 15 years?

2) Assuming the borrower has no other debts, what is the income needed to qualify for a 30-

year 8 percent mortgage on a $200,000 house with 20 percent down? And for a 15- year 8 percent mortgage?

3) Next, assume the borrower has additional car, credit card, and student loan debt payments of $700 per month. What is the income needed to qualify for 30 year loan? For a 15 year loan?          Appendix