Finance

A Missouri borrower's annual income is $72,000. Using a 28% housing ratio, what is the maximum monthly housing payment?

A$1,440
B$1,680✓ Correct
C$1,800
D$2,016

Explanation

Maximum monthly housing payment = $72,000 × 28% ÷ 12 = $72,000 × 0.28 ÷ 12 = $20,160 ÷ 12 = $1,680.

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