Answer: $2,500.00 per month
Explanation:
To calculate the minimum realized income required to pay a monthly rent of $750.00, we need to consider the rule of thumb that the rent should not exceed 30% of the tenant’s gross income . Therefore, we can use the following formula to calculate the minimum realized income:
Minimum Realized Income=Monthly Rent0.3
Minimum Realized Income=0.3Monthly Rent
Substituting the given monthly rent into the formula, we get:
Minimum Realized Income=750.000.3
Minimum Realized Income=0.3750.00
Evaluating the expression, we get:
Minimum Realized Income=2500.00
Minimum Realized Income=2500.00
Therefore, the minimum realized income required to pay a monthly rent of $750.00 is $2,500.00 per month .