Mike and Teresa have a monthly gross income of $6,442, but they pay $995 per month in taxes. They also pay $2,455 per month in various loan payments. What is their debt service ratio? (Keep 2 decimal places)

Mike and Teresa have a monthly gross income of $6,442, but they pay $995 per month in taxes. They also pay $2,455 per month in various loan payments. What is their debt service ratio? (Keep 2 decimal places)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Mike and Teresa have a monthly gross income of $6,442, but they pay $995 per month in taxes.
They also pay $2,455 per month in various loan payments. What is their debt service ratio? (Keep 2
decimal places)

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