Real Estate Math

A Vermont couple's combined gross monthly income is $9,200. The front-end housing ratio limit is 28%. What is the maximum monthly housing expense allowed?

A$2,300
B$2,576✓ Correct
C$2,800
D$3,220

Explanation

Maximum monthly housing expense = Gross monthly income × Front-end ratio = $9,200 × 28% = $2,576. To solve this, multiply the relevant values: $9,200 at 28%..

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