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%