1.Assume you are planning on spending a certain amount of income towards a mortgage. The terms of the mortgage are 1.85% APR for 30 years. You plan on spending 32% of your monthly gross income towards your mortgage. Make sure to show at least 1 sample formula that you used in Excel to get the house price.

If you spend 32% of your monthly salary towards a house, what is the highest price house you can afford?

What is the highest priced house a high school graduate can afford?

Use an absolute or relative change statement to compare the house prices of the high school graduate and your house.