An Introduction to the Mathematics of Finance : A Deterministic Approach

Front Cover -- An Introduction to the Mathematics of Finance A Deterministic Approach -- Copyright -- Dedication -- Contents -- Preface -- Chapter 1 - Introduction -- 1.1 THE CONCEPT OF INTEREST -- 1.2 SIMPLE INTEREST -- 1.3 COMPOUND INTEREST -- 1.4 SOME PRACTICAL ILLUSTRATIONS -- SUMMARY -- Chapter 2 - Theory of Interest Rates -- 2.1 THE RATE OF INTEREST -- 2.2 NOMINAL RATES OF INTEREST -- 2.3 ACCUMULATION FACTORS -- 2.4 THE FORCE OF INTEREST -- 2.5 PRESENT VALUES -- 2.6 PRESENT VALUES OF CASH FLOWS -- 2.7 VALUING CASH FLOWS -- 2.8 INTEREST INCOME -- 2.9 CAPITAL GAINS AND LOSSES, AND TAXATION -- SUMMARY -- EXERCISES -- Chapter 3 - The Basic Compound Interest Functions -- 3.1 INTEREST RATE QUANTITIES -- 3.2 THE EQUATION OF VALUE -- 3.3 ANNUITIES-CERTAIN: PRESENT VALUES AND ACCUMULATIONS -- 3.4 DEFERRED ANNUITIES -- 3.5 CONTINUOUSLY PAYABLE ANNUITIES -- 3.6 VARYING ANNUITIES -- 3.7 UNCERTAIN PAYMENTS -- SUMMARY -- EXERCISES -- Chapter 4 - Further Compound Interest Functions -- 4.1 INTEREST PAYABLE PTHLY -- 4.2 ANNUITIES PAYABLE PTHLY: PRESENT VALUES AND ACCUMULATIONS -- 4.3 ANNUITIES PAYABLE AT INTERVALS OF TIME R, WHERE R 1 -- 4.4 DEFINITION OF AN(P) FOR NON-INTEGER VALUES OF N -- SUMMARY -- EXERCISES -- Chapter 5 - Loan Repayment Schedules -- 5.1 THE GENERAL LOAN SCHEDULE -- 5.2 THE LOAN SCHEDULE FOR A LEVEL ANNUITY -- 5.3 THE LOAN SCHEDULE FOR A PTHLY ANNUITY -- 5.4 CONSUMER CREDIT LEGISLATION -- SUMMARY -- EXERCISES -- Chapter 6 - Project Appraisal and Investment Performance -- 6.1 NET CASH FLOWS -- 6.2 NET PRESENT VALUES AND YIELDS -- 6.3 THE COMPARISON OF TWO INVESTMENT PROJECTS -- 6.4 DIFFERENT INTEREST RATES FOR LENDING AND BORROWING -- 6.5 PAYBACK PERIODS -- 6.6 THE EFFECTS OF INFLATION -- 6.7 MEASUREMENT OF INVESTMENT FUND PERFORMANCE -- SUMMARY -- EXERCISES -- Chapter 7 - The Valuation of Securities -- 7.1 FIXED-INTEREST SECURITIES.