Which of the Following Is the Best Advice in Determining

question 77

Multiple Choice

Which of the following is the best advice in determining how large a mortgage you can afford?

• A)Whatever you need to borrow to get the home you want
• B)Whatever the banks will offer based on your TDS and GDS ratios
• C)Less than what your cash flow indicates you can afford
• D)The maximum that your cash flow indicates you can afford

---

Definitions:

Price

The pecuniary figure assumed, needed, or distributed as payoff for something.

Demand Curve

A visual depiction highlighting how the cost of a good influences the quantity that buyers seek.

Price

The amount of money required to purchase a good or service; it acts as a signal between sellers and buyers.