Ask Experts Questions for FREE Help !
Ask
    afliwoso's Avatar
    afliwoso Posts: 1, Reputation: 1
    New Member
     
    #1

    May 14, 2012, 08:23 AM
    How is the household debt to income ratio calculated in the flow of funds?
    In the Federal flow of funds report, the household debt and income is reported and in calculating the household debt to income ratio, it seems that mortgage debt is included. If this is the case, wouldn't the ratio be very high, assuming the average homeowner's mortgage is significantly higher than their personal income.

Check out some similar questions!

Xero, Inc. has a total debt ratio of 0.56, total debt of $316,000, and net income of [ 0 Answers ]

Xero, Inc. has a total debt ratio of 0.56, total debt of $316,000, and net income of $38,500. What is the return on equity>

What is the difference between cash flow and funds flow statement [ 1 Answers ]

Difference between cash flow and funds flow statement

Getting out of a mortgage w/ a high debt to income ratio [ 4 Answers ]

Hi. My husband and I are in the process of buying a house. I want out. We have signed some papers. I know our debt to income ratio is too high and yet the mortgage company still is going through with it. I would love to get the house, but, if we do our TOTAL savings is wipped out. I just started...

Debt to income ratio? [ 1 Answers ]

My wife and I recently tried to obtain a loan for the purchase of a home. Unfortunately, the establishment declined to offer us a loan on the basis of debt to income ratio, and the fact that I have a blemish that incurred almost 7 years ago. How does debt to income work exactly? I am sure the name...

Prepare balance sheets, show net income, compute debt ratio [ 1 Answers ]

I have an accounting problem in which a list of assets and liabilities are given for 2007 and 2008. I am also given some transactions that happened toward the end of 2008involving purchasing land/building in which some is a note payable for the balance, some stock was purchased and dividends are...


View more questions Search
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.