Finance
A Florida borrower's 'debt-to-income ratio' (DTI) includes which of the following in the denominator?
ANet income after taxes
BGross monthly income before taxes
CGross annual income divided by 12
DBoth B and C since they are equivalent✓ Correct
Explanation
DTI = Monthly Debt Payments ÷ Gross Monthly Income. Gross monthly income (before taxes, same as gross annual ÷ 12) is used — not net income.
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