1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Lisa [10]
3 years ago
10

Affan Chawdry has monthly net income of $1,050. He has a house payment of $450 per month, a car loan with payments of $375 per m

onth, a Visa card with payments of $50 per month, and a credit card with a local department store with payments of $100 per month. What is Affan's debt payments-to-income ratio
Business
1 answer:
Stolb23 [73]3 years ago
8 0

Answer:

92.86%

Explanation:

Debt-to-income ratio is a comparison or personal debts against income.  It is used to assess an individual ability to accommodate more debts.

The formula for for calculating Debt to income is

Debt to income is   <u> Total of Monthly Debt Payments​​  </u>

    Gross Monthly Income        

For Affan, Total debts are $450 + $375 + $50+ $100 =$ 975

Gross income is not given , we use net income which is $1,050

Debt to income ration =  $975/$1050

=  0.92857 x 100

= 92.86%

You might be interested in
Epsilon Co. can produce a unit of product for the following costs: Direct material $ 8 Direct labor 24 Overhead 40 Total costs p
mylen [45]

Answer:

It is cheaper to make the units in-house.

Explanation:

Giving the following information:

Make in-house:

Direct material $ 8

Direct labor 24

Overhead 40

Total costs per unit $72

Buying price= $60

<u>We need to determine which option provides the lower cost. Because 40% of overhead will remain constant, we have to take it out of the equation.</u>

<u>Production cost:</u>

Direct material $ 8

Direct labor 24

Overhead= 40*0.6= 24

Total production cost= $56

It is cheaper to make the units in-house.

8 0
3 years ago
How to be a successful entrepreneur?
pishuonlain [190]

Answer:

Don’t take ‘no’ for an answer

Learn from the best

Stay hungry and ambitious

Never stand still; evolve with the times

Nurture long-term business relationships

Inspire those around you

Trust your gut instinct, not just your spreadsheet

Explanation:

It takes hard work and dedication and they are many free sources that is available today such as videos

7 0
2 years ago
Read 2 more answers
The expected rates of return on portfolios A and B are 11% and 14%, respectively. The beta of A is 0.8 and the beta of B is 1.5.
Zigmanuir [339]

Answer:

Portfolio B has a higher return but more volatile stocks. However it depends on how the individual can tolerate risks.

Explanation:

Expected return= free return + Beta (Expected rate of return – risk free rate)

Portfolio A

6%+ +.8*6%

= 6%+4.8%= 10.8%

Portfolio B

6%+1.5(6%)

6%+9%= 15%

It depends on different factors. Portfolio B has a higher return but more volatile stocks. However it depends on how the individual can tolerate risks.

4 0
4 years ago
Brad Essary owned a small company that sold garden equipment. The equipment was expensive, and a perpetual system was maintained
olga_2 [115]

Answer:

Total= $77,300

Explanation:

Giving the following information:

lost, damaged, and stolen merchandise normally amounted to 5 percent of the inventory balance. On June 14, Essary's warehouse was destroyed by fire. Just before the fire, the accounting records contained a $136,000 balance in the Inventory account. However, inventory costing $16,900 had been sold and delivered to customers but had not been recorded in the books at the time of the fire. The fire did not affect the showroom, which contained inventory that cost $35,000.

Accounting record= 136,000

Normal Damaged merchandise= 136,000*0.05= 6,800 (-)

Sold inventory= 16,900 (-)

Showroom= 35,000 (-)

Total= $77,300

3 0
3 years ago
An invoice, with payment terms of 6/10, n/30, was issued on april 28 for $230.00. if the payment was made on may 12, the amount
meriva

The amount of the payment on May 12 will be the full amount of $230.00

6/10 n/30 means a 6% discount <em>if </em>paid within 10 days and the net amount is due within 30 days. Since the payment was made after 10 days there would be no discount, just the full amount due.

6 0
4 years ago
Other questions:
  • Livewire company and mccoy's candy, inc., sign a document that states livewire agrees to design a web page for mccoy's, which ag
    5·1 answer
  • To print the Adjusted Trial Balance, select: Multiple Choice Company Center &gt; Accountant &amp; Taxes Company Center &gt; Comp
    13·1 answer
  • Suppose there is a large increase in the money supply in an economy that previously had low inflation. As a consequence, aggrega
    8·1 answer
  • What is DYS Camp Avery?
    6·1 answer
  • In the bond market, the bond demanders are the ________ and the bond suppliers are the ________.
    9·1 answer
  • Supply is the amount needed.<br> O True<br> O False
    10·2 answers
  • Norris Company declared cash dividends of $60,000 during the year. Cash dividends payable were $20,000 at the beginning of the y
    8·1 answer
  • Hampton Company reports the following information for its recent calendar year. Income Statement Data Selected Year-End Balance
    9·1 answer
  • ABC Motors ordinarily deals in used cars and does some amount of repair work. Robby entrusted his automobile to ABC Motors to ha
    13·1 answer
  • The federal funds rate is typically ________ the primary credit lending rate. a. greater than b. equal to c. less than d. None o
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!