Ms. Mandeville is considering to buy a house. She has $100,000 as a down payment. Following is the information about Income Tax rate and Mortgage rates. She earns $90,000 per year. She needs $36,000 for basic living per year and is willing to spend remaining portion for mortgages. Income Below $30,000 $30,000 - $60,000 Above $60,000 30 year fixed rate Mortgage Tax rate 20% 30% 40% 9% per year What is the maximum price of a house she can afford with 30 year mortgages? Hints: consider tax benefits for mortgage interest payments