303 - Theory of Interest and Life Insurance
Prerequisites:
Math 234 or con reg, or consent of instructor.
Frequency:
Irregular
Student Body:
For students in the actuarial sciences or with an interest in it.
Credits:
3. (N-I) Recent Texts:
The Theory of Interest, by Kellison.
Background and Goals:
Although cross listed with mathematics, this course is usually taught by faculty in the business school. Please contact the business school for more information.
Alternatives:
n/a
Subsequent Courses:
n/a Course Content:
- Series and sums, differentiation
- The measurement of interest: simple and compound interest, present value and discounting, forces of interest and discounting
- Solution of problems in interest
- Annuities: annuities due and immediate
- Yield rates: cash flow analysis, reinvestment, methods of calculating yield rates
- Amortization schedules and sinking funds
- Bonds and other securities
- Practical applications