Question
Louise McIntyres monthly gross income is $4,100. Her employer withholds $880 in federal, state, and local income taxes and $430 in Social Security taxes per
| Louise McIntyres monthly gross income is $4,100. Her employer withholds $880 in federal, state, and local income taxes and $430 in Social Security taxes per month. Louise contributes $280 each month for her IRA. Her monthly credit payments for VISA and MasterCard are $175 and $195, respectively. Her monthly payment on an automobile loan is $285. |
| a. | What is Louise's debt payments-to-income ratio? (Enter your answer as a percent rounded to 2 decimal places.) |
| Debt payments-to-income ratio | % |
| b. | Is Louise living within her means? | ||||
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Quantum Economics And Finance
Authors: David Orrell
3rd Edition
1916081630, 978-1916081635
