Stat472: Actuarial Models

Fall 2015

Meets: Section 1Tuesday and Thursday from 10:30 to 11:45 in UNIV 017

Wednesday from 11:30 to 12:20 in UNIV 017

Section 2Tuesday and Thursday from 12:00 to 1:15 in UNIV 017

Wednesday from 12:30 to 1:20 in UNIV 017

Instructor: Jeff Beckley

Office: 818MathematicsBuilding317-698-8543

E-mail:

Web

Office Hours:

Tuesday and Thursday 2:00 to 4:00

or by appointment

General Information

The course will cover the learning objectives for the Society of Actuaries Examination MLC.

Textbook:Actuarial Mathematics for Life Contingent Risks, Second Edition

David C. M. Dickson, Mary R. Hardy, Howard R. Waters

You must have the second edition of the book. Readings will be assigned from the book. You will be responsible for those readings on quizzes and tests. This material will not be covered in the lecture.

Calculators

The only calculators permitted for this class will be those permitted to be used on the Society of Actuaries examinations in the Fall of 2012. The Society of Actuaries website states: “Candidates may ONLY use the battery or solar–powered Texas Instruments BA–35 model calculator, the BA II Plus*, the BA II Plus Professional*, the TI–30Xa or TI–30X II* (IIS solar or IIB battery), or TI-30XB MultiView (XS Solar or XB Battery). Candidates may use more than one of the approved calculators during an examination.” Use of any other calculator on a test or quiz will result in a zero on that test or quiz.

The class website has instructions from the Society of Actuaries website for either calculator that you choose.

Please bring your calculator to each class.

Procedures

Evaluation will be based on a combination of tests, quizzes,group work, Excel project, and

homework assignments.

There will be 9 quizzes during the semester. Quizzes will be announced. The lowest quiz grade will be disregarded.

There will be six group projects and an Excel project. These will be completed during class.

There will be 2 tests and a final. The final will NOT be comprehensive.

All tests and quizzes will be closed book and closed notes. Calculators are allowed. Quizzes cannot be made up under any circumstances. There will be no makeup exams except in extreme circumstances and then only with a prior arrangement with the instructor.

Final grades will be based on the following weights:

Quizzes / 20%
Homework / 2%
Group Work / 6%
Excel Project / 10%
Test 1 / 20%
Test 2 / 20%
Final / 20%
Calculators and Tables / 2%
Total / 100%

Homework:Homework is due at the beginning of class. Doing the homework is essential to understanding the material. No homework will be accepted past the due date. NO homework scores will be dropped.

For homework, quizzes, and tests, answers are expected to include all the work necessary to do the problems.

You can earn two points by bringing your tables and calculator to class every day.

Grades

Grades will be on a plus/minus scale as follows:

Score / Grade
99.5% and above / A+
94-99.4 / A
90-93.9 / A-
87-89.9 / B+
83-86.9 / B
80-82.9 / B-
77-79.9 / C+
73-76.9 / C
70-72.9 / C-
67-69.9 / D+
63-66.9 / D
60-62.9 / D-
59.9 and below / F

Cheating

•Cheating will not be tolerated!

•Copying someone else’s HW is Cheating! Giving your homework to someone else who copies it is cheating.

•Copying my solutions from a prior semester is plagiarism. This is true whether you got them from a friend or from the internet. This is Academic Dishonesty.

•If you cheat on HW or Quiz, penalty is a zero on the homework or Quiz and 5% of the total score for the class. You will not be allowed to drop the HW or Quiz.

•If you cheat on a Test or Excel Project, you will receive a failing grade in this class.

Academic Adjustments

Students who have been certified by the Office of the Dean of Students -- Adaptive Programs aseligible for academic adjustments should see me to discuss the procedures to be followed. This should be done during the first week of classes. Only students who have been certified by the ODOS-Adaptive Programs and who have requested ODOS to send their certification letters to their instructors are eligible for academic adjustments.

Students who are currently undergoing an evaluation process to determine whether they are eligible for academic adjustments, are encouraged to talk to me regarding procedures to be followed.

Course Outline

December 16, 2015

While this outline tries to be complete and accurate, there will be changes in the schedule of the course; these will be announced in class and on the class website. The reading is to be done by the date listed and the homework is to be turned in on the date listed. For example, prior to class on August 26, you are to read Chapter 1 in the book. You will turn in the Homework listed on the August 27 on the 27th.

The Homework for the class will consist of the problems that will be posted on the class website. This syllabus will be updated with the Homework assignment after each class. Homework will be due on Tuesday and Thursday.

Day / Date / Lecture / Reading / Class Homework
Tu / 8/25 / Chapter 2
Wed / 8/26 / Chapter 2 / Chapter 1
Th / 8/27 / Chapter 2, Quiz 1
Tu / 9/1 / Chapter 2 / Chapter 2, Number 1 a-s and 2
Wed / 9/2 / Chapter 2
Th / 9/3 / Chapter 3, Quiz 2 / Chapter 2, Number 1 t-w, 3 a-e and g-j,
5 and 6
Tu / 9/8 / Chapter 3 / Chapter 2, Number 1 x,y, 3 f, 4, 7-10
Wed / 9/9 / Group Project
Th / 9/10 / Chapter 3 / Chapter 3, Questions 1-3
Tu / 9/15 / Chapter 3 / Sections 3.4, 3.5, 3.6 / Chapter 3, Questions 4-9
Wed / 9/16 / Group Project
Th / 9/17 / Chapter 3, Quiz 3 / Chapter 3, 11-20
Question 10 - Bonus
Tu / 9/22 / Chapter 4 / Chapter 4, 1-3, 4a, 4f
Wed / 9/23 / Group Project
Th / 9/24 / Chapter 4 / Chapter 4, 4g, 4h, 5a, 5f, 7, 8
Tu / 9/29 / Chapter 4, Quiz 4 / Chapter 4, 4b, 11a, 17, 18
Wed / 9/30 / Chapter 4
Th / 10/1 / Chapter 4 / Chapter 4, 4c-e; 5b-e, g, h; 6, 9, 11b, 12
Tu / 10/6 / TEST / Chapter 4, 4 i,j;13, 14, 15 – Calculate expected value only. Do not do variance; 16,19-21, 23-25
Wed / 10/7 / Chapter 5
Th / 10/8 / Chapter 5
Tu / 10/13 / BREAK
Wed / 10/14 / NO CLASS
Th / 10/15 / Chapter 5 / Chapter 5, 1 a-d,f, 2 a,b, 5, 10, 14
Tu / 10/20 / Chapter 5, Quiz 5 / Chapter 5, 1 e, g-i, 2 c-i, l, m, 4, 11, 15
Wed / 10/21 / Group Project
Th / 10/22 / Chapter 5 / Chapter 5, 1 j-k, 3 Assume UDD, and 9
Tu / 10/27 / Chapter 6 / Chapter 4, 22; Chapter 5,2 j-k, 6-8, 12-13
Wed / 10/28 / Group Project
Th / 10/29 / Chapter 6, Quiz 6 / Chapter 6, Questions 1-4
Tu / 11/3 / Chapter 6 / Chapter 6, Questions 5-6
Wed / 11/4 / Chapter 6
Th / 11/5 / Chapter 6 / Chapter 6, Questions 7-18 except for 17c
Tu / 11/10 / TEST
Day / Date / Lecture / Reading
Wed / 11/11 / Chapter 7
Th / 11/12 / Chapter 7
Tu / 11/17 / Chapter 7, Quiz 7 / Chapter 7, Questions 1, a-f, 2-9
Wed / 11/18 / Group Project
Th / 11/19 / Chapter 7 / Chapter 7, Questions 11-17
Tu / 11/24 / Chapter 8, Quiz 8 / Chapter 7, Question 10
Wed / 11/25 / BREAK
Th / 11/26 / BREAK
Tu / 12/1 / Chapter 8 / Chapter 7, Questions 1, g-h, 18, 24-28
Wed / 12/2 / Group Project
Th / 12/3 / Chapter 8, Quiz 9 / Chapter 8, Questions 114, 115, 119
Tu / 12/8 / Individual Excel Project / Chapter 8, Questions 120-122, 125 i-iii, 126 i,ii,iv,v, and 127 i, ii
Will not be collected.
Wed / 12/9 / Chapter 8
Th / 12/10 / Chapter 8
Final / 12/17 / Alternative Final Exam / WTHR 172 7:00 pm to 9:00 pm
Final / 12/19 / Scheduled Final Exam / MATH 175 10:30 am to 12:30 pm