The Zhengs’ gross monthly income is $4100. They have 18 remaining boat payments of $505. The Zhengs are applying for a 20-year, $275,000 mortgage at a 9% interest rate to buy a new house. The taxes and insurance on the house are $425 per month. Their bank will approve a loan that has a total monthly house payment of principal, interest, property taxes, and homeowners’ insurance that is less than or equal to 28% of their adjusted monthly income.

(a) Determine 28% of the Zhengs’ adjusted monthly income.

(b) Determine the Zhengs’ total monthly house payment, including principal, interest, taxes, and insurance.

(c) Do the Zhengs qualify for this mortgage?