calculate TDS ratio

Daniel Richards and his wife Amy have just moved to Canada from Australia and want to buy a house that costs $1 million. They have a down payment of $200,000 plus enough to pay the other costs like legal fees and moving cost. They go to Canada's newest bank, the Bank of Northern Ontario (BNO) to get a mortgage. They negotiated a fixed rate of 3.0% p.a. with a 25-year amortization and a 5-year term - but then the loan officer tells them they will have to make sure they can qualify for the mortgage under the new rules just brought in by the Prince of Northern Ontario, which has just declared independence from Canada. The new rule is to prevent borrowers getting in too deep: they must meet a standard of GDS of 30% and TDS of 35% and qualify at a mortgage rate that is two percentage points higher than they are actually paying. Daniel and Amy go back to Yingqi Zhang the real estate agent to get some more numbers. The estimated utilities expense (electricity, water, waste management) is $300 per month and gas for heating is approximately $125 per month. The property tax for the next year is $350 per month. The house is in good shape and Yingqi estimates they would need no more than $300 over the next year for maintenance. Amy's new job in Canada will pay her $160,000 p.a. as a consulting neurologist, while Daniel will be working as a teacher for $60,000 p.a. They are still repaying Amy's students loans from her degree in the UK at a rate of $300 per month. They had to buy a car when they came to Canada and the car loan payments are $400 per month