You've always loved the beach and have a goal to buy a beach house to rent

out. You've done your research and know that the going rental rate per month

is $$3,500$ per month. If you are looking at buying a $$550,000$ rental property and

the interest rates for such are $7\%$ over $360$ months, will your rental income cover

your mortgage payment?

a$.$ Yes because the mortgage would be only $$2,900$ per month.

b$.$ No$,$ because the mortgage would be $$3,659$ per month.

c$.$ Yes because the mortgage would be $$3,250$ per month.

d$.$ No$,$ because the mortgage would be $$4,400$ per month.