Unit 3 Quiz Unit 3:

You work for a lender that requires a 20% down payment and uses the standard debt-to-income ratio to determine

ratelena [41]

According to the standard debt-to-income ratio, the person who would be rated as highest in respect of eligibility for a home loan is person C.

A home loan is an amount that has been lent for the acquisition or purchase of any house. or apartment for living.

Given values:

Persons Monthly Incomes Recurring debts

Person A $4,250 ($51,000 / 12) $350

Person B $4,833 ($58,000 / 12) $250

Person C $5,250 ($63,000 / 12) $200

Person D $5,583 ($67,000 / 12) $450

Step-1 Computation of debt-to-income ratio of person A:

$\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\rm\ Recurring \rm\ debt}{\rm\ Income}\\ \rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\$350}{\$4,250}\\\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=8.23\%$

Step-2 Computation of debt-to-income ratio of person B:

$\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\rm\ Recurring \rm\ debt}{\rm\ Income}\\ \rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\$250}{\$4,833}\\\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=5.18\%$

Step-3 Computation of debt-to-income ratio of person C:

$\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\rm\ Recurring \rm\ debt}{\rm\ Income}\\ \rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\$200}{\$5,250}\\\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=3.80\%$

Step-4 Computation of debt-to-income ratio of person D:

$\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\rm\ Recurring \rm\ debt}{\rm\ Income}\\ \rm\ Debt \rm\ to \rm\ Income \rm\ ratio=\frac{\$450}{\$5,583}\\\rm\ Debt \rm\ to \rm\ Income \rm\ ratio=8.06\%$

Therefore, after finding debt to income ratios of all persons, the lowest ratio comes out to be of Person C at 3.80% which ranked to be the highest.

Learn more about the debt ratio in the related link:

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Answer:

night terrors.

Explanation:

Night terrors refer to unexpected awakenings from non-REM sleep, which is characterized by extreme fear, panic and strong physiological arousal. Night terrors usually happen during stage four of non-REM sleep, which is the deepest stage of sleep and humans are least aware of outside stimulation.

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3 years ago

What sources of information do people use to learn history?

Anestetic [448]

Answer:

Its important to learn history because it helps us understand our future and know what to do. Sources of history try a history book or history class

Explanation:

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Domestic violence against women what are the cause and solution?

deff fn [24]

Answer:

Causes:

-illiteracy

-lack of awareness

-early marriage

-masculinity

solutions:

-People should be provided with education

-awareness programms should be held

-marriage shouldn't be done before the age of 18

-faminism should be supported

(hope this helps :))

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2 years ago

Students need ________ skills in order to identify, evaluate, and use information to make informed decisions.

aleksklad [387]

Answer:

Information literacy skill

Explanation:

Information skills are techniques which help students not only whilst you are studying, but throughout their life, at any time we use information gathered to decide on what next to do. Hence the skill is a must have for all students

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3 years ago