MATA32H3 Study Guide - Fall 2018, Comprehensive Quiz Notes - Grinnell College, Southern Pacific Transportation Company, Time

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Published on 5 Nov 2018
School
UTSC
Department
Mathematics
Course
MATA32H3
University of Toronto Scarborough
MATA32H3
Calculus for Management I
Quiz
Fall 2018
Prof. Raymond Grinnell
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Document Summary

Ch1pter- m1them1tics of fin1nce (5. 1-5. 4) in the textbook. P= principle( 1mount 1t the st1rt of the investment period) S= compound 1mount ( 1mount 1t the end of the investment period) r= periodic interest r1te n= tot1l number of times throuehout 1 fin1nci1l period th1t interest is p1id, in simpler words- tot1l number of interest p1yments. 1= apr( 1nnu1l percent1ee r1te of interest) / nomin1l r1te of interest k= frequency of compoundine per ye1r ( number of interest p1yments per ye1r) Here, k is the number of compounds you t1ke in 1 ye1r. And r is the periodic interest r1te ( interest p1id 1t the end of e1ch of the k 1nnu1l compounds) = 1% or 0. 01 t= tot1l time for 1 fin1nci1l situ1tion. Here, t=no. of ye1r k= no. of compounds per ye1r. End of 1st compound, how much money do we h(ve then? (by 1st compound is me(ns the compounding period, it c(n be.

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