Kevin is living life in Banff, Alberta. He works at a large hotel during the...
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Kevin is living life in Banff, Alberta. He works at a large hotel during the year. On his days off, in the summer he hikes and camps while in the winter he skis. He was recently promoted to manager and now earns $80,000. All of his disposable income is used to pay for his new Jeep, his debts, and his living expenses. What is Kevins Debt-to-Asset ratio?
Description
Amounts
Jeep
$44,800
Jeep loan (5 years remaining)
$38,650
Tuition loan
$3,800
Savings account
$2,150
Chequing account
$850
Utility bills (heating, internet paid monthly)
$325/month
Tax-Free Savings Account (TFSA)
$14,340
Food (paid monthly)
$570/month
Rent (paid monthly)
$1,200/month
Select one:
a.
55.78%
b.
68.31%
c.
61.02%
d.
65.01%
e.
57.26%
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