Ask Question

Owen makes $3,000 per month. He spends $300 on credit card payments and $350 on an auto loan. What is his debt-to-income ratio?

+2
Answers (1)
  1. 9 July, 08:23
    0
    His debt-to-income ratio is 25%. The debt-to-income ratio shows the portion of your income which you have used for paying loans payment. The debt-to-income ratio can be calculated by dividing the sum of all loan payments with the monthly income. This ratio functions as the payment ability indicator of a person to identify their qualification for taking a loan agreement.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Owen makes $3,000 per month. He spends $300 on credit card payments and $350 on an auto loan. What is his debt-to-income ratio? ...” in 📗 Mathematics if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers