Question 3 • 26-27 Ignite Financial Literacy Personal Finance - EL3403
The mortgage amount is 95% of $195,600, or $185,820. Using a 30-year loan at 5.875% annual interest, the monthly principal-and-interest payment is approximately $1,100. If Shauna contributes $400 herself, the rent needs to cover about $1,100 − $400 = $700, so the best choice is $700.
AI-written and checked against the verified answer.