Mathematical Interest Theory 2nd edition

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• Chapter 0: An introduction to the Texas Instruments BA II Plus
  • 0.0: Chapter 0 Writing Problems
  • 0.1: Choosing a calculator
  • 0.2: Font convention
  • 0.3: BA II Plus basics
  
  
• Chapter 1: The growth of money
  • 1.0: Chapter 1 Writing Problems
  • 1.1: Introduction
  • 1.2: What is interest?
  • 1.3: Accumulation and amount functions
  • 1.4: Simple interest / Linear accumulation functions
  • 1.5: Compound interest (The usual case!)
  • 1.6: Interest in advance / The effective discount rate
  • 1.7: Discount functions / The time value of money
  • 1.8: Simple discount
  • 1.9: Compound discount
  • 1.10: Nominal rates of interest and discount
  • 1.11: A friendly competition (Constant force of interest)
  • 1.12: Force of interest
  • 1.13: Note for those who skipped Sections (1.11) and (1.12)
  • 1.14: Inflation
  • 1: Review Problems
  
  
• Chapter 2: Equations of value and yield rates
  • 2.0: Chapter 2 Writing Problems
  • 2.1: Introduction
  • 2.2: Equations of value for investments involving a single deposit made under compound interest
  • 2.3: Equations of value for investments with multiple contributions
  • 2.4: Investment return
  • 2.5: Reinvestment considerations
  • 2.6: Approximate dollar-weighted yield rates
  • 2.7: Fund performance
  • 2: Review Problems
  
  
• Chapter 3: Annuities (annuities certain)
  • 3.0: Chapter 3 Writing Problems
  • 3.1: Introduction
  • 3.2: Annuities immediate
  • 3.3: Annuities due
  • 3.4: Perpetuities
  • 3.5: Deferred annuities and values on any date
  • 3.6: Outstanding loan balances
  • 3.7: Nonlevel annuities
  • 3.8: Annuities with payments in geometric progression
  • 3.9: Annuities with payments in arithmetic progression
  • 3.10: Yield rate examples involving annuities
  • 3.11: Annuity symbols for nonintegral terms
  • 3.12: Annuities governed by general accumulation functions
  • 3.13: The investment year method
  • 3: Review Problems
  
  
• Chapter 4: Annuities with different payment and conversion periods
  • 4.0: Chapter 4 Writing Problems
  • 4.1: Introduction
  • 4.2: Level annuities with payments less frequent than each interest period
  • 4.3: Level annuities with payments more frequent than each interest period
  • 4.4: Annuities with payments less frequent than each interest period and payments in arithmetic progression
  • 4.5: Annuities with payments more frequent than each interest period and payments in arithmetic progression
  • 4.6: Continuously paying annuities
  • 4.7: A yield rate example
  • 4: Review Problems
  
  
• Chapter 5: Loan repayment
  • 5.0: Chapter 5 Writing Problems
  • 5.1: Introduction
  • 5.2: Amortized loans and amortization schedules
  • 5.3: The Sinking Fund method
  • 5.4: Loans with other repayment patterns
  • 5.5: Yield rate examples and replacement of capital
  • 5: Review Problems
  
  
• Chapter 6: Bonds
  • 6.0: Chapter 6 Writing Problems
  • 6.1: Introduction
  • 6.2: Bond alphabet soup and the basic price formula
  • 6.3: The premium-discount formula
  • 6.4: Other pricing formulas for bonds
  • 6.5: Bond amortization schedules
  • 6.6: Valuing a bond after its date of issue
  • 6.7: Selling a bond after its date of issue
  • 6.8: Yield rate examples
  • 6.9: Callable bonds
  • 6.10: Floating-rate bonds
  • 6.11: The BA II Plus calculator Bond worksheet
  • 6: Review Problems
  
  
• Chapter 7: Stocks and financial markets
  • 7.0: Chapter 7 Writing Problems
  • 7.1: Common and preferred stock
  • 7.2: Brokerage accounts
  • 7.3: Going long: buying stock with borrowed money
  • 7.4: Selling short: selling borrowed stocks
  • 7: Review Problems
  
  
• Chapter 8: Arbitrage, term structure of interest rates, and derivatives
  • 8.0: Chapter 8 Writing Problems
  • 8.1: Introduction
  • 8.2: Arbitrage
  • 8.3: The term structure of interest rates
  • 8.4: Forward contracts
  • 8.5: Commodity futures held until delivery
  • 8.6: Offsetting positions and liquidity of futures contracts
  • 8.7: Price discovery and more kinds of futures
  • 8.8: Options
  • 8.9: Using replicating portfolios to price options
  • 8.10: Using weighted averages to price options
  • 8.11: Swaps
  • 8: Review Problems
  
  
• Chapter 9: Interest rate sensitivity
  • 9.0: Chapter 9 Writing Problems
  • 9.1: Overview
  • 9.2: Duration
  • 9.3: Convexity
  • 9.4: Immunization
  • 9.5: Other types of duration
  • 9: Review Problems