FINANCIAL MATHEMATICS
FINANCE 3333
Instructor: Mr. Robert E. Stewart
Course Prequisite: All 2000 numbered business courses and Business Calculus
Office Hours: 7:30am to 8:30am TTh, 11:15am to noon TTh, 10:00am to noon W
Other hours by appointment
Office Location: 205 Bibb Graves Hall
Office Telephone: 334-670-3143
334-670-3459
334-670-3299 fax
E-mail:
Time of class: 10:00am to 11:15am TTh
Course Description: The study of mathematical concepts necessary for other courses dealing with
finance, insurance, and investments. It presents the basic core of
mathematics needed to understand the impact of interest on the world of
investments, real estate, corporate planning, insurance, and securities
transactions.
Course Objectives: Upon completion of the course, the student should:
-mathematics of simple interest transactions,
-mathematics of treasury bills,
-mathematics of bank discounts,
-mathematics of commercial paper,
-mathematics of compound interest transactions,
-mathematics of bank deposits,
-mathematics of mortgages,
-mathematics of investment annuities
-mathematics of bonds,
-mathematics of stock valuation,
-mathematics of capital budgeting,
-mathematics of insurance premium calculations
Text: MATHEMATICS OF FINANCE by Cissell, Cissell and Flaspohler,
Eighth Edition.
Other Materials: You are encouraged to read the WALL STREET JOURNAL regularly.
Instructor will indicate what sections to read.
Grading Methodology: Grades are determined by percentage of total points possible in the class.
Grade Percentage Requirement
A 100%-86%
B 85%-73%
C 72%-58%
D 57%-45%
F 44%- 0%
HOMEWORK(ASSIGNMENT POLICY)
Homework is work done outside class. It is not only work that is to be
submitted to the instructor but is work that should be done as assigned.
You are to read the chapter and pages that are to be covered prior to
attending class. You are to work as many problems at the end of the chapter
as your time will allow. The more problems you work, the more you will
understand. You shall keep a notebook with the solved problems in them.
This notebook is to be separate from the one in which you record class notes.
This notebook will not be graded but is subject to be submitted to instructor
in any class meeting so that the instructor may observe your progress. cccccccccccccc
TEST POLICY
There will be three tests during the semester including the final exam. The
material covered on each test will be indicated by instructor in class. The
tests will consist of ten problems. Make-up tests will be administered only
for documented, signed, approved absences. Make-up tests will be
administered only to those who have received approval from the professor
prior to the test date. The make-up test must be taken within one week of the
student’s return to class. A grade of zero will assigned for a test missed due
to an unexcused absence.
Exams will not be returned in class. You are to come by office, review test,
and discuss test with instructor. You have one week after tests are announced
to be graded to review the test. Test dates will be announced one week prior
to the test date. Final exam time is determined by university and there will be
no exceptions from that time.
Class Procedure and
Requirements There are no social promotions! You must earn your grade by meeting the
course objectives. Faithful attendance, a pure heart, noble intentions,
curly hair, blue eyes, good looks, talking to instructor outside of class,
etc. without genuine achievement will not enable you to pass the course.
Examinations, assignments, working problems, participation in class, and hard
work will determine your grade.
The approach used will be lecture covering concepts, mathematical
construction, and problem solving. Class participation and discussion is
strongly encouraged. If you have a question, ask it. Otherwise, it is assumed
you understand the material.
COURSE CONTENT
1. Simple Interest
2. Discount Interest
3. Compound Interest
4. Ordinary annuities
5. Other annuities certain
6. Debt retirement methods
7. Stocks and Bonds
8. Depreciation and Capital Budgeting
9. Advanced topics.
Classroom Administration: Student expectations are:
1. punctually attend all scheduled classes. Students who arrive tardy will be
penalized.
2. Read the textbook material before the lecture.
3. No hats or sunglasses in the classroom.
4. No electronic devices that allows students to communicate with each other.
5. No plagiarism (copying of others work)
6. No asking instructor what assignment was or material covered in class for absence. It is your responsibility to be there or communicate with other
class members on what you missed and do so before coming to next class.
7. Do not ask instructor if you missed anything important. Everything we do
in class is important. Do not ask instructor for permission to miss class.
Instructor will not give permission to miss class. You may miss two meetings without penalty. If you miss three, you not only must
provide acceptable excuse for that absence but for the other two also.
8. I do not repeat lectures nor perform the tutoring function for students who
are absent. Each absence will make the successful completion of this
course more difficult due to finance courses being cumulative in nature
and days missed from class are lost knowledge needed for the next class.
Cheating Policy: If you are caught cheating, you will receive a course grade of F. See ORACLE;
STUDENT HANDBOOK.
Additional Services: AMERICANS WITH DISABILITIES ACT: Any student whose disabilities fall
within ADA must inform the instructor at the beginning of the term of any
special needs or equipment necessary to accomplish the requirements of this
course.
Students who have or may be dealing with a disability or learning difficulty
Should speak with the instructor, or contact the Office of Adaptive Needs
Program.