Question

Pete's monthly housing budget is $2,250. His monthly costs are $215.75 for insurance, $143.50 for utilities, and $273 for taxes. Which of these houses can he afford?

A.) House A; monthly payment of $1,550.89
B.) House B; monthly payment of $1,790.25
C.) House C; monthly payment of $1,989.23

Answer 1

You simply substract all of the charges from his budget, very easy.

Answer 2

Try it!

Answer 3

i got $1,614.75

Answer 4

So did I, perfect.

Now, rule out the houses he can NOT afford due to his budget.

Answer 5

House B and C are too expensive for him, he doesn't have enough money to pay for the.

Although, he can afford House A because he has more money than it is worth.

Answer 6

Understand?

Answer 7

oh yeah i get it now! (: