Let's address each part step-by-step.

Part (a): Maximum Monthly Mortgage Payment

The financial advice is to spend no more than 28% of one's gross monthly income on a mortgage payment. First, we need to find the gross monthly income from the given annual income of $43,200:

$\text{Gross Monthly Income} = \frac{\text{Annual Income}}{12} = \frac{43,200}{12} = 3,600$

Now, calculate 28% of the monthly income:

$\text{Maximum Monthly Mortgage Payment} = 0.28 \times 3,600 = 1,008$

So, the maximum monthly mortgage payment is $1,008.

Part (b): Maximum Monthly Total Credit Obligations

Next, we find the maximum amount the family should spend each month for total credit obligations, which includes the mortgage payment and any other debt. The guideline is 36% of the gross monthly income:

$\text{Maximum Monthly Total Debt} = 0.36 \times 3,600 = 1,296$

Thus, the maximum amount they should spend on total credit obligations is $1,296.

Part (c): Maximum Amount for Other Debt

If the family's monthly mortgage payment is 60% of the maximum they can afford, we find 60% of the maximum mortgage payment calculated in part (a):

$\text{Actual Mortgage Payment} = 0.60 \times 1,008 = 604.8$

Now, subtract the actual mortgage payment from the maximum amount they should spend on total debt (from part (b)) to find the remaining amount they can spend on other debt:

$\text{Remaining Amount for Other Debt} = 1,296 - 604.8 = 691.2$

Thus, the maximum amount they should spend each month for all other debt is $691.20.

Summary:

• (a) Maximum monthly mortgage payment: $1,008
• (b) Maximum monthly total credit obligations: $1,296
• (c) Maximum amount for all other debt: $691.20

Would you like more details on any of these calculations, or have any questions?

Here are 5 related questions for further exploration:

1. How would the results change if the annual income increased to $50,000?
2. What percentage should a family allocate if they want to minimize their debt burden?
3. If the family has a car loan and credit card debt totaling $500, how much more debt can they afford?
4. How does the maximum mortgage payment change if only 25% of monthly income is allocated to it?
5. What is the impact of reducing the mortgage payment to 50% of the maximum?

Tip: It's always a good idea to keep total debt-to-income ratio under 36%, as higher ratios can make it difficult to obtain new credit or loans.