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Problem 1: Duane Miller wants to know what price home he can afford. His annual gross income is $54,000. He has no other debt expenses and expects property taxes and insurance to cost $400 per month. He knows he can get a 11.00%, 15 year mortgage so his mortgage payment factor is 11.37. He expects to make a 15% down payment. What is Duane's affordable home purchase price? (Round your answer to the nearest whole dollar.)
Multiple Choice
Option 1: $91,681
Option 2: $112,267
Option 3: $133,139
Option 4: $162,613
Option 5: $61,403
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