Question

Gia's gross annual salary is $46,392.

What is the recommended maximum monthly rent she should pay

Answer 1

I guess it's C, because her mouthly salary is $34848÷12 months is $2904

Answer 2

Annual Salary of Gia= $ 46, 392

We will use
`(28)/(36)` rule to determine , monthly rent paid by Gia.

`(28)/(36)` rule states that , 28% of monthly income should be used for Housing expenses and 36% of gross monthly income should be used for Debt Purposes.

28% of $ 46,392

`=(28)/(100) * 46392\\\\=(1298976)/(100)\\\\=12989.76`

The value =$ 12989.76, is Yearly rent.

Monthly Rent

`=(12989.76)/(12)\\\\=1082.48`

Maximum Monthly Rent Paid by Gia's = $ 1082.48