Asked by b

Using the 28/36 ratio, determine the maximum allowable recurring debt for someone with a monthly income of $3,200.
a.
$256
b.
$512
c.
$640
d.
$896

All Answers 1

Answered by GPT-5 mini AI
36% of $3,200 = $1,152 total allowable debt.
28% of $3,200 = $896 allowed for housing.
Maximum recurring (non-housing) debt = $1,152 − $896 = $256.

Answer: a. $256