Mathematics of Finance: An Introduction

Dublin City University

Course Description

  • Course Name

    Mathematics of Finance: An Introduction

  • Host University

    Dublin City University

  • Location

    Dublin, Ireland

  • Area of Study

    Finance, Mathematics

  • Language Level

    Taught In English

  • Course Level Recommendations

    Lower

    ISA offers course level recommendations in an effort to facilitate the determination of course levels by credential evaluators.We advice each institution to have their own credentials evaluator make the final decision regrading course levels.

    Hours & Credits

  • ECTS Credits

    5
  • Recommended U.S. Semester Credits
    2
  • Recommended U.S. Quarter Units
    3
  • Overview

    Description
    MS216 aims to provide students with a grounding in elements of financial mathematics and its related applications, particularly the calculation of present and accumulated values for various streams of cash flows. Applications will include the use of a variety of annuity functions in loan calculations and investment project appraisal problems.

    Learning Outcomes
    1. Show how interest rates or discount rates may be expressed in terms of different time periods.
    2. Calculate the present value and the accumulated value of a stream of equal or unequal payments using specified rates of interest, and the net present value at a real rate of interest, assuming a constant rate of inflation.
    3. Define and use the more important compound interest functions including annuities certain.
    4. Define an equation of value.
    5. Describe how a loan may be repaid by regular instalments of interest and capital.
    6. Apply discounted cashflow techniques to solve investment project appraisal problems.