An Underwriter Has the Following Data for a Company: Monthly

question 24

Short Answer

An underwriter has the following data for a company: monthly income: $9,000; monthly debt: $5,000; loan principal: $40,000; market value: $70,000; gross income: $175,000. Use this data to find the loan-to-value ratio (expressed as a percentage).

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Definitions:

Market Pricing

A social exchange theory concept where relationships are evaluated based on cost-benefit analysis and equitable distribution.

Communal Sharing

A form of social relation where members of a group treat group belongings as a collective resource, emphasizing equality and shared identity.

Thoracic Cavity

The area of the human body located between the neck and the abdomen, housing organs such as the heart, lungs, esophagus, and major blood vessels.

Abdominal Cavity

The largest body cavity in humans, housing many vital organs, including the stomach, liver, and intestines, enclosed by the abdominal muscles and the pelvis.