Debt Payments-To-Income Ratio Is

question 99

Multiple Choice

Debt payments-to-income ratio is

• A)calculated by dividing total liabilities by net worth.
• B)calculated by dividing monthly debt payments (not including house payments) by net monthly income.
• C)determined by dividing your assets into liabilities.
• D)a useless ratio for determining your credit capacity.
• E)rarely used by creditors in determining credit worthiness.

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