Math 114
Mathematics of Finance
Course description: Topics from the mathematics of finance including simple interest, compound interest, annuities and amortization.
Prerequisites: Math 113, or permission of DMCS department head.
Text: Mathematics of Finance (Shaum's Outline Series) by Zima and Brown, 2nd Edition (1996), McGraw Hill.
Calculator: The Casio 9750G Plus will be used for classroom demonstrations. It is recommended that you check with the instructor before using a calculator other than the Casio 9750G Plus for this class. Some testing will be conducted without the use of the calculator.
For details about your instructor's contact information, office hours, and policies, go to www.faculty.mcneese.edu and access your instructor's website.
General Education Competency
The General Education Competency assessed in this course: To understand numerical data and statistics.
Student Learning Outcomes
The student will be able to
- demonstrate computational skills necessary for problem solving and mathematical modeling;
- create, organize, and revise models to solve problems;
- collect, organize, and interpret numerical data in various forms;
- demonstrate knowledge and skills specific to course content as outlined in the objectives listed below.
Objectives
The student will be able to
- solve equations involving exponentials and logarithms;
- compute simple interest and simple discount for given situations;
- distinguish between simple and compound interest;
- compute compound interest using nominal rates;
- compare nominal interest rates with effective interest rates;
- calculate compound discount using discount rates;
- learn and understand vocabulary associated with annuities;
- evaluate simple and general annuities under given circumstances;
- study amortization by generating amortization schedules of debt and calculating mortgages;
- perform calculations involving sinking funds.
Course material
Course material will include the following topics:
| Topic | Chpt. | Sections | Approx. time |
|---|---|---|---|
| Exponents and logarithms | Ch. 1 | all | ~ 1 week |
| Simple interest and simple discount | Ch. 3 | all but 4, 6 | ~ 2 weeks |
| Compound interest and simple discount | Ch. 4 | all | ~ 3 weeks |
| Simple annuities | Ch. 5 | all | ~ 2 weeks |
| General annuities | Ch. 6 | all | ~ 2 weeks |
| Amortization and sinking funds | Ch. 7 | all but 4 | ~ 4 weeks |
Additional topics may be covered, at the discretion of the instructor as needed during the course.
Assessment
The Semester score for the course will be calculated by using the weights (%) indicated below:
| Weight (%) | |||
|---|---|---|---|
| 75% | Semester average | Tests | ______ % |
| Assignments | ______ % | ||
| _________ | ______ % | ||
| 25% | Final exam grade |
The Semester letter grade in the course will be assigned according to the scale below:
| Semester grade | Semester score |
|---|---|
| 90–100 | A |
| 80–89 | B |
| 70–79 | C |
| 60–69 | D |
| 0–59 | F |
Notes:
- In the case of an excused absence, the instructor reserves the right to reweight the final exam in lieu of a make-up test.
- In the case where a student's score on his final exam indicates exceptional achievement above and beyond that indicated by the semester average, the instructor reserves the right to reweigh the value of the final exam in computing the semester grade.
A STUDENT WILL RECEIVE A PASSING MARK IF, AND ONLY IF, THE STUDENT PASSES THE FINAL EXAM WITH A 60 OR BETTER.
Please read the Department's Attendance Policy.
Instructor's office hours
can be found on the MSU web site at
http://www.faculty.mcneese.edu
Click on individual instructor to view their web page.
Or navigate from MSU Home Page; select Faculty & Staff, select Faculty Web Server.
Students should visit the MSU web page at
http://www.mcneese.edu/policy/diversity.htm
for information about diversity awareness and sexual harassment policies and
procedures, as well as the Americans with Disabilities Act.
Students should also visit the MSU web page at
http://www.mcneese.edu/integrity
for information on the Academic Integrity Policy.
ANY STUDENT WITH A DISABILITY IS ENCOURAGED TO CONTACT THE OFFICE OF SERVICES FOR STUDENTS WITH DISABILITIES IN DREW HALL, ROOM 200, VOICE (337) 475-5916, HEARING IMPAIRED (337) 475-5722. IT IS EACH STUDENT'S RESPONSIBILITY TO REGISTER WITH THE OFFICE OF SERVICES FOR STUDENTS WITH DISABILITIES WHEN REQUESTING A REASONABLE ACCOMMODATION.
One week of summer school is equivalent to 2 ½ weeks of Fall or Spring classes
DMCS
Location:
Kirkman Hall, Beauregard Drive
Mail:
Box 92340, MSU, Lake Charles, LA 70609
Phone:
(337) 475–5788,
Fax:
(337) 475–5799
e-Mail:
sbradley@mcneese.edu
