Can you help me answer the questions...thank you
Ch05 HW G Saved Help Save & Exi Submit Check my work Problem 5-1 (LO5.2) A few years ago, Simon Powell purchased a home for $215,000. Today, the home is worth $380,000. His remaining mortgage balance is $165,000. Assuming that Simon can borrow up to 75 percent of the market value, what is the maximum amount he can currently borrow against his home? points eBook Print References Amount available for borrowing Cho5 HW 6 Saved Help Save & Exlt Submit Check my work 2 Problem 5-2 (LO5.3) Louise McIntyre's monthly gross income is $4,000. Her employer withholds $870 in federal, state, and local income taxes and $420 in Social Security taxes per month. Louise contributes $270 each month for her IRA. Her monthly credit payments for VISA and MasterCard are $150 and $190, respectively. Her monthly payment on an automobile loan is $290 points eBooka.What is Louise's debt payments-to-income ratio? (Enter your answer as a percent rounded to 2 decimal places.) Print Debt payments-to-income ratio References b. Is Louise living within her means? No Yes Ch05 HW 6 Saved Help Save & Exlt Submit Check my work 3 Problem 5-3 (LO5.3) Robert Sampson owns a townhouse valued at $179,000 and still has an unpaid mortgage of $144,000. In addition to his mortgage, he has the following liabilities: points eBook Print References Visa MasterCard Discover card Education loan Personal bank loan Auto loan Total $ 725 320 525 4,000 700 5,400 $11, 676 Robert's net worth (not including his home) is about $33,000. This equity is in mutual funds, an automobile, a coin collection, furniture, and other personal property a. What is Robert's debt-to-equity ratio? (Round your answer to 2 decimal places.) Debt-to-equity ratio b. Has he reached the upper limit of debt obligations? Saved Help Save & Exit Submit Check my work 4 Problem 5-4 (LO5.3) Madeline Rollins is trying to decide whether she can afford a loan she needs in order to go to chiropractic school. Right now, Madeline is living at home and works in a shoe store, earning a gross income of $1,220 per month. Her employer deducts a total of $300 for taxes from her monthly pay. Madeline also pays $180 on several credit card debts each month. The loan she needs for chiropractic school will cost an additional $270 per month. points eBook Print References Calculate her debt payments-to-income ratio with and without the college loan. (Remember the 20 percent rule.) (Enter your answers as a percent rounded to 2 decimal places.) Debt Payments- to-Income Ratio With college loan Without college loan Can she currently afford the school loan? O Yes O No Cho5 HW 6 Saved Help Save&Exit Submit Check my work 5 Problem 5-5 (LO5.4) Joshua borrowed $800 for one year and paid $40 in interest. The bank charged him a service charge of $7. What is the finance charge on this loan? points Finance charge eBook Print References
