Duane Miller Wants to Know What Price Home He Can

Multiple Choice

Duane Miller wants to know what price home he can afford.His annual gross income is $60,000.He has no other debt expenses and expects property taxes and insurance to cost $500 per month.He knows he can get a 6%,15 year mortgage so his mortgage payment factor is 8.43.He expects to make a 10% down payment.What is Duane's affordable home purchase price? Round your answer to the nearest $100.

A) $148,300
B) $177,900
C) $151,600
D) $197,700
E) $1,483,000