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The answer on e2020 is D.44% hopes this helps.
Trudy's DTI (debt-to-income) ratio is; 11:25
Ratios and Proportions
The chart is as follows;
- Income = $36,000 (annually)
- Rent = $695 (monthly)
- Car Payment = $265 (monthly)
- Student Loan = $200 (monthly)
- Credit Cards = $160 (monthly)
Hence, The total debt owed by Trudy can be evaluated as follows since there are 12 months in a year;
- Total debt = 12($695) + 12($265) + 12($200) + 12($160)
- Total debt = $8340 + $3180 + $2400 + $1920
- Total debt = $15,840
Since, Trudy's income is $36,000; Trudy's debt-to-income ratio is;
- Ratio = $15840/$36000
Ratio = 0.44
Ratio is 11:25
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