Noel and Herman need to replaceNoel's car. But with the furniture and appliancepayments, the credit cardbills, andHerman's carpayment, they are...
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Noel and Herman need to replace​ Noel's car. But with the furniture and appliance​ payments, the credit

card​ bills, and​ Herman's car​ payment, they are uncertain if they can afford another payment. The​ auto-financing representative has​ asked, "What size payments are you thinking​ of?" Current payments​ (excluding the potential cost of​ Noel's car) total ​$374 of their  ​$2,570 combined monthly​ take-home pay. Calculate the debt limit ratio to help them decide about the car purchase and answer the​ question, "What size payments are you thinking​ of?" by first assuming a 15 percent limit and then​ "stretching" it to a 20 percent limit.

Based on a​ 15% limit, the maximum car payment that Noel and Herman can afford for a car for Noel is ​$____. ​(Round to the nearest​ cent.)

based on 20% limit etc.. ?

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debt to limit ratio = monthly non... View the full answer

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