Johnny's monthly expenses and income are listed below. Calculate Johnny's debt-to-income (DTI) ratio.

Johnny's Monthly Debt and Income Housing:

Rent $950.00 Renter's Insurance $25.00

Credit: Student $250.00 Car $239.00 Credit Card #1 $25.00 (minimum) Credit Card #2 $40.00 (minimum)

Income: Sales Rep $4,400.00 Tutoring $600.00

a. 28%

b. 33%

c. 31%

d. 35

Question

Jadiel Gates

Mathematics

14 April, 15:18

Johnny's monthly expenses and income are listed below. Calculate Johnny's debt-to-income (DTI) ratio.

Johnny's Monthly Debt and Income Housing:

Rent $950.00 Renter's Insurance $25.00

Credit: Student $250.00 Car $239.00 Credit Card #1 $25.00 (minimum) Credit Card #2 $40.00 (minimum)

Income: Sales Rep $4,400.00 Tutoring $600.00

a. 28%

b. 33%

c. 31%

d. 35

+2

Answers (1)

Know the Answer?

Julianna Whitney · Answer 1

Johnny's Debt = $950+$25+$250+$239+$25+$40

Johnny's Debt = $1529

Johhny's income = $4400 + $600

Johnny's income = $5000

$1529/$5000 = 0.3058 * 100 = 30.58% = 31%

c. 31%