$(5$ points$)$ Your customer, Mary Olson, has requested a loan to purchase a home in West Fargo. The

home she has in mind is listed for $$280,000,$ and she would like a loan for up to $30$ years. The current $30-$

year interest rate at your bank is $7\mathrm{.}40\%,$ and your maximum ratio for housing payment to total income is

$29\%.$ If she can provide a $10\%$ down payment, how much income must Mary be earning per year in order

to qualify for this loan based on the terms she has requested?

$(5$ points$)$ Assuming Mary needs to pay private mortgage insurance of $$\frac{75}{?}$ month as part of her loan

payment, along with $$\frac{300}{?}$ month in property taxes and $$\frac{100}{?}$ month in insurance, what is the maximum

loan amount she can afford based on an income of $$84,000$ per year?