1. Lets assume the following annual information provided by your client.

• Student Loans $12,000
• Auto Insurance $1,400
• Utilities $1,900
• After tax income $88,000
• Rent $16,500
• Dry Cleaning $150
• Car Loan Payment $4,600
• Annual Savings $2,550
• Credit Cards Payment $1,000
• Entertainment $2,500

Calculate the following ratios to determine the clients financial situation. Comment on the ratio results by using targeted benchmarks.

• Housing Ratio 1 =?
• Housing Ratio 2 =?
• Emergency fund =?
• Current ratio =?