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Louise Mclntyre's monthly gross income is $ 3 , 4 0 0 . Her employer withholds $ 7 4 0 in federal, state, and local

Louise Mclntyre's monthly gross income is $3,400. Her employer withholds $740 in federal, state, and local income taxes and $290 in Social Security taxes per month. Louise contributes $140 each month to her IRA. Her monthly credit payments for VISA and MasterCard are $85 and $80, respectively. Her monthly payment on an automobile loan is $355.
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
6
b. Is Louise living within her means?
No
Yes
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