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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

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 32% 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 1,000

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