P
OCKET
R
EFERENCE
G
UIDE
— 30
Finding Income Required and
Allowable Monthly Debt
• Sales Price: $225,000
• Down%: 35%
• Property Tax: 1.5%
• Heating Expense: $125
• Term: 25 years
• Interest: 7.5%
Find the income required to finance a
$225,000 home and also find the maxi-
mum allowable debt.
STEPS
KEYSTROKES
DISPLAY
Clear
o o
0.00
Enter Interest
7 • 5 ˆ
7.50
Enter Term
2 5 T
25.00
Enter Tax%
1 • 5 t
1.50
Enter heating
1 2 5 e
125.00
Enter Price
2 2 5 ) P
225,000.00
Enter %Down
3 5 d
35.00
Find $ Down
d
78,750.00
Find Mortgage
l
146,250.00
Display Qualifying
Ratios
q
32.00 – 40.00
(Cont’d)
3420PRG-E-A 7/2/04 9:07 AM Page 30
