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Yanka [14]
2 years ago
7

If Ralph has $2,900 in stable gross monthly income, what is the maximum total debt allowed for Ralph by conventional lenders

Business
1 answer:
dezoksy [38]2 years ago
8 0

Based on Raph's stable gross monthly income, the maximum total debt allowed per month is<u> $1,044</u>

Most conventional lenders prefer to lend to a person whose debt to income ratio is 36% and below.

Ralph's maximum debt allowed is therefore:

<em>= Debt to income ratio x Stable gross income </em>

= 36% x 2,900

= $1,044

In conclusion, Ralph's maximum debt is $1,044

Find out more about debt to income ratio at brainly.com/question/24814852.

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