It is time for Barry and Sarah to meet with the bank to finalize some ratios regarding the financing of their home purchase. Calculate their Total Debt Service (TDS) ratio based on the information provided.

Barry's annual gross salary: $90,000

Sarah's annual gross salary: $91,000

Monthly mortgage payment: $2,150

Annual property taxes: $2,400

Monthly heating: $160

Annual condo fees $600

Barry's monthly student loan $70

Sarah's monthly car loan $125

Monthly furniture loan $30

Select one:

a.

20%

b.

32%

c.

18%

d.

35%

e.

25%