Pete and Pam want to purchase a new home but don't know how much mortgage they can qualify for. The lender requires total installment loan payments not exceed 40% of gross monthly income. Based on Pete and Pam's financial data below, what is the maximum monthly mortgage payment for which they can qualify?

Monthly gross income	$5,000
Car payment	400
Student loan payment	300
Current rent payment	800

	a.	$1,700
	b.	$1,600
	c.	$1300
	d.	$500

All of the below are forms of open account credit except:

	a.	Retail charge cards
	b.	Bank credit cards
	c.	Bank debit cards
	d.	Reward (co-branded) credit cards
	e.	30-day charge accounts