Silvia and Jason Would Like to Purchase a Home with the Following

question 66

Multiple Choice

Silvia and Jason would like to purchase a home with the following monthly expenses:
​
Principal and interest
$980
Homeowner's insurance
$350
Real estate taxes
$265
Utilities
$205
​
The couple needs to have an annual gross income of at least ____ in order to qualify for a loan if the front-end ratio requirement is 26 percent.

• A) ​$57,462
• B) ​$61,385
• C) ​$73,615
• D) ​$83,077

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Definitions:

Fiscal Policy

Government policies concerning taxation and spending to influence the economy, aiming at managing economic growth and stabilizing prices and employment.

Fiscal Policy

Government policy relating to taxation, government spending, and borrowing, aimed at influencing a country's economy.

Monetary Policy

A strategy employed by a nation's central bank to control the money supply, often targeting inflation or interest rates to ensure economic stability.

Economic Policy

The actions taken by a government to influence its economy, including fiscal policy (taxing and spending practices) and monetary policy (control of the money supply and interest rates).