Question
Estimate the affordable monthly mortgage payment, the affordable mortgage amount, and the affordable home purchase price for the following situation. Monthly gross income: $2,750. Down
Estimate the affordable monthly mortgage payment, the affordable mortgage amount, and the affordable home purchase price for the following situation. Monthly gross income: $2,750. Down payment to be made: 15%. Other debt (monthly amount): $160. Monthly estimate for property taxes and insurance: $210. 30 year loan at 8% interest. Refer to Exhibit 9-9 as needed.
| Affordable monthly mortgage payment: $675. Affordable mortgage amount $91,962. Affordable Home purchase price $108,190. | ||
| Affordable monthly mortgage payment: $751. Affordable mortgage amount $102,316. Affordable Home purchase price $120,372. | ||
| Affordable monthly mortgage payment: $751. Affordable mortgage amount $112,932. Affordable Home purchase price $132,862. | ||
| Affordable monthly mortgage payment: $675. Affordable mortgage amount $101,504. Affordable Home purchase price $119,416. |
The correct answer is B, can someone tell me why?
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Financial Management Theory And Practice
Authors: Prasanna Chandra
8th Edition
0071078401, 978-0071078405
