Payment to Income Ratio Is BEST Described As

question 3

Multiple Choice

Payment to income ratio is BEST described as:

• A)The factor used to determine if interest on mortgage loans is tax deductible
• B)The only measure of a borrower's ability to fulfill his or her loan obligations
• C)The ratio of the estimated rental income to the expected payments on a rental property
• D)The ratio of the expected payments on a property to the income of the borrower

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Definitions:

Liquidator's Fee

Charges or payments made to a liquidator for the process of winding up a company, disposing of its assets, and discharging its liabilities.

Voluntary Winding Up

A process initiated by a company's shareholders to dissolve the company in an orderly manner, liquidating assets to pay creditors and distributing any remaining assets.

Company's Members

Individuals or entities that have an ownership interest in a corporation, commonly referred to as shareholders or stockholders.

ASIC

The Australian Securities and Investments Commission; an independent Australian government body that acts as the corporate regulator.