MATH 3356, Quantitative Theory of Interest, Section 002, 8:00 a.m. MWF, Room MA110 017

## Text

The Theory of Interest, by S. Kellison, 3nd Ed.

### Web Page

http://www.math.ttu.edu/~xiwang/3356/math3356.html

## Instructor

 Name: Alex Wang Office: MA237 Office Hours: 10:00-11:00 am, M-F. Office Phone: 834-7626 E-mail: alex.wang@ttu.edu

### Course Purpose

This course covers the mathematical theory of interest. It is recommended for students who plan to take the professional examinations given by the Society of Actuaries (SOA) and the Casualty Actuarial Society (CAS). This course is required for Actuarial Science minor.

### Calculator

Students are required to have a calculator with business capacities.

### Course Outline

The information below serves a tentative time line for the material to be covered:
Chapter 1: 1/19-2/5
Chapter 2: 2/7-2/16
Chapter 3: 2/19-3/2
Chapter 4: 3/3-3/28
Chapter 5: 3/30-4/18
Chapter 6: 4/20-4/30

### Expected Learning Outcomes

Students obtain the knowledge of key terms of financial mathematics and are proficient in the key procedures of financial mathematics. In particular the students will be able to demonstrate their ability to:
• Calculate the effective rate (or force) of interest (or discount);
• Calculate the present and future values of an annuity;
• Calculate annuity payment;
• Form amortization schedule or sinking fund schedule;
• Determine the prices, values, and yield rates for bonds and other securities.

#### Homework:

Online homework system WeBWorK is used for this course. The WeBWorK link for this course is at http://webwork.math.ttu.edu/webwork2/spr18xiwangm3356s002. Students are encouraged to print out the problems and work them off-line. The answer of any question can be submitted unlimited times until correct one is submitted before the due time. The total home work points are determined by

 Total Points You Received Total Available Points
× 250

All the homework assignments will be re-open on 5/7/2018 until 7:30 am on 5/12/2018. Please keep working on the uncompleted assignments and keep a paper copy of the correct answers for future submission even after they are closed.

#### Midterm Tests:

Three midterm tests of 150 points each will be administered on the following days:
 Test 1: Friday, February 16. Test 2: Friday, March 23. Test 3: Friday, April 20.

#### Final Exam:

The final exam is comprehensive and departmental, and will be worth 300 points. It will be administered on Saturday, May 12, 2018, from 7:30 to 10:00 a.m.

The total points will be calculated as the sum of the Test 1, 2, 3, Homework, and Final Exam. The course grade will be determined by
 A: 900-1000 B: 800-899 C: 700-799 D: 600-699 F: 0-599

### Class Attendance

Students are cautioned that active participation is necessary for success. Attendance will be taken regularly and is mandatory. Students may be penalized when the number of missed classes exceeds 5 for this course. Please inform me of your absences (reasons). In addition, the last day of attendance will have to be reported to the Registrar, for all the failing grades.

### Critical Dates

 February 16: Test 1 March 23: Test 2 March 28: Last day to drop April 20: Test 3 May 12: Final Exam 7:30 a.m.

### Absence due to religious observance

The Texas Tech University OP 34.19 states that a student who intends to observe a religious holy day should make that intention known in writing to the instructor prior to the absence. A student who is absent from classes for the observance of a religious holy day shall be allowed to take an examination or complete an assignment scheduled for that day within a reasonable time after the absence. As your instructor, I request that notification be made in writing and submitted no later than the 15th class day of the semester. Absence due to officially approved trips - The Texas Tech University OP 34.04 states department chairpersons, directors, or others responsible for a student representing the university on officially approved trips must notify the student's instructors of the departure and return schedules. The instructor so notified must not penalize the student, although the student is responsible for material missed. Any student absent because of university business must be allowed to make up missed work within a reasonable span of time or have alternate grades substituted for work due to an excused absence. Students absent because of university business must be given the same privileges as other students.

### Academic Integrity (extracted from OP 34.12):

It is the aim of the faculty of Texas Tech University to foster a spirit of complete honesty and high standard of integrity. The attempt of students to present as their own any work not honestly performed is regarded by the faculty and administration as a most serious offense and renders the offenders liable to serious consequences, possibly suspension. Scholastic dishonesty includes, but it not limited to, cheating, plagiarism, collusion, falsifying academic records, misrepresenting facts, and any act designed to give unfair academic advantage to the student (such as, but not limited to, submission of essentially the same written assignment for two courses without the prior permission of the instructor) or the attempt to commit such an act.

### Civility in the Classroom

Incivility is any action that interferes with the classroom learning environment. This includes, but is not limited to arriving late, leaving early, not closing/putting aside the cell phone, text messaging, sleeping, chatting during class, disturbing others with noise, dominating the class discussion. Be respectful to the instructor and to your fellow students, or you may be asked to leave the classroom.

### Accommodation for Students with Disabilities (extracted from OP 34.22)

Any student who, because of a disability, may require some special arrangements in order to meet course requirements should contact the instructor as soon as possible to make the necessary arrangements. Students should present appropriate verification from Student Disability Services during the instructor's office hours. Please note instructors are not allowed to provide classroom accommodations to a student until the appropriate verification from Student Disability Services has been provided. For additional information, you may contact the Student Disability Services office at 335 West Hall or 806-742-2405.