Answer:
$5958.33
Explanation:
To find the minimum monthly income required by the lender, we need to determine the maximum monthly payment that the buyer's income can support.
The lender insists that the buyer's monthly payment not exceed 24% of their monthly income.
Let's represent the buyer's monthly income as "x".
The maximum monthly payment that the buyer's income can support can be calculated by multiplying the buyer's income by 24% (or 0.24).
Max monthly payment = 0.24x
According to the problem, the monthly loan payment is $1430.
So we can set up an equation:
0.24x = $1430
To find the minimum monthly income required, we solve for "x":
x = $1430 / 0.24
Evaluating this expression, we get:
x ≈ $5958.33 (rounded to the nearest cent)
Therefore, the minimum monthly income required by the lender is approximately $5958.33.