Welcome to the Course Page of

MATH 2280 3.00 A

The Mathematical Theory of Interest

Fall 2014


Department of Mathematics and Statistics
Faculty of Science
York University
4700 Keele Street
Toronto, Ontario  M3J 1P3

Course Organization:


Course Information

Course Schedule


Exams Information

Important Links & Other Resources


This area will contain announcements and solutions to tests. Announcements made in class will be posted here in reverse chronological order and will not be repeated in class. Please take a minute to read the announcements carefully, as they often get updated. You may need to Reload/Refresh this page.

January 02:

Please  click here  to see your final exam mark and unofficial


letter grade for the course. Please note: grades are subject to


Faculty approval processes.



December 05:

Please note that the graded Test #3 papers will be returned in the


class today.

December 04:

Please note that the Final Examination for the course will take


place on Sunday, December 21 from 19:00 to 22:00 in TC Rexall.


The exam will be comprehensive, covering the entire course material


that we have covered in class from Sections 1.1-1.7, 2.1-2.3, 3.1-3.3,


4.1-4.3 and 5.1-5.2 of the textbook. On the exam you will be allowed


to use Texas Instruments BA II Plus (or Professional) or any other


non-graphing, non-programmable calculator and provided with the


following formula sheet. No other aids will be allowed. There will be


several questions on the exam, some with few parts. Marks for each


question will be indicated. You have to show all your work, and you


should explain your solutions where appropriate.


Also, I am making available the latest schedules of the Math Lab

November 28:

I am making availablesolutionsto Test #3 questions.


Practice exercises for Chapter 5:


Section 5.1: #5.1.3, 5.1.5(a,c), 5.1.7;


Section 5.2: #5.2.1, 5.2.2, 5.2.4, 5.2.6.

November 25:

As it was announced in the class yesterday, we will write Test #3 during 


the lecture period on Friday, November 28 in two class rooms, as follows:


- family name starting with A - K: CLH M;


- family name starting with L - Z: CLH K.


On the test you will be responsible for all the material covered in class


from Sections 3.1, 3.2, 3.3, 4.1, 4.2 and 4.3.1 of the textbook.

November 21:

I am also making available for you the latest schedules of Math Lab and


Stats Lab.

November 14:

Please note that the student course evaluations will be available on-line


at the URL link: http://courseevaluations.yorku.ca  from November 16


to December 07, 2014.  It is the time for you to be the judge. Please go


on-line and complete the course evaluation.

November 11:

Practice exercises for Chapter 4:


Please read pages 223-230 in the textbook.


Section 4.1: #4.1.1, 4.1.2, 4.1.3, 4.1.4, 4.1.6, 4.1.9(a,b,c), 4.1.10,


††††††††††††††††††††† 4.1.11, 4.1.13, 4.1.16, 4.1.18, 4.1.21, 4.1.27;


Section 4.2: #4.2.4, 4.2.5, 4.2.9;


Section 4.3: #4.3.3, 4.3.4.

November 06:

Practice exercises for Chapter 3:


Section 3.1: #3.1.1, 3.1.2, 3.1.4, 3.1.10, 3.1.11, 3.1.12;


Section 3.2: #3.2.3, 3.2.6, 3.2.7, 3.2.8, 3.2.12, 3.2.17, 3.2.20, 3.2.26;


Section 3.3: #3.3.1, 3.3.2, 3.3.3, 3.3.4, 3.3.5, 3.3.6, 3.3.8, 3.3.10.

November 05:

I am making availablesolutionsto Test #2 questions. Please note that


the graded test papers will hopefully be returned in the class on Friday,


November 7th.

October 28:

As it was announced in the class yesterday, we will write Test #2 during 


the lecture period on Monday, November 03 in two class rooms, as follows:


- family name starting with A - K: CLH M;


- family name starting with L - Z: ACW 006.


On the test you will be responsible for all the material covered in class


from Sections 1.7, 2.1, 2.2 and 2.3 of the textbook, excluding subsections and

October 23:

Practice exercises for Sections 2.3:


#2.3.1, 2.3.2, 2.3.3, 2.3.4, 2.3.11, 2.3.12, 2.3.13, 2.3.14, 2.3.15,


†††††††††††† 2.3.18, 2.3.19, 2.3.22(b), 2.3.23, 2.3.24, 2.3.34, 2.3.36.

October 07:

Please note that the graded Test #1 papers will be returned in the class


on Wednesday, October 08. I am making available solutions to the test



October 06:

I am making available the URL for the newly created Facebook page of


the Department of Mathematics and Statistics:



October 01:

As it was promised in the class on Monday, I am making available


the link to the Statistics Canada Consumer Price Index(CPI):




Practice exercises for Sections 2.1-2.2:


Section 2.1: #2.1.4, 2.1.5, 2.1.9, 2.1.11-2.1.13, 2.1.17, 2.1.19-2.1.21,


††††††††††††††††††††† 2.1.27, 2.1.29, 2.1.30, 2.1.33;


Section 2.2: #2.2.1, 2.2.2, 2.2.11, 2.2.14, 2.2.20, 2.2.27.

September 28:

Please note that we will write Test #1 during the lecture period on


Wednesday, October 01 in two class rooms, as follows:


- family name starting with A - K: CLH M;


- family name starting with L - Z: SLH B.


On the test you will be responsible for all the material covered in class


from Sections 1.1, 1.2, 1.3, 1.4, 1.5 and 1.6 of the textbook.

September 23:

Please make note that we are going to have an information session on York's


Actuarial Science program on Thursday, September 25 at 4:00 PM in CLH D.


Also, right after the session (at 5:00 PM) a group of upper administration from


Sun Life Financial will speak about the profession, the hiring process in general


as well as about the set of skills Sun Life is seeking when recruiting. The students


will have a rare opportunity to address their questions directly to professional


actuaries that are involved in hiring. Beverages and snacks are to be provided.

September 22:

Please make note that Test #2 will take place during the class time on


Monday, November 03.


Practice exercises for Sections 1.6-1.7:


Section 1.6: #1.6.1, 1.6.2, 1.6.3, 1.6.4, 1.6.7;


Section 1.7: #1.7.2, 1.7.5, 1.7.8.

September 17:

As it was announced in the class today, I am making available


Learning Objectives. Please note that these objectives were taken


directly from the website for the Society of Actuaries exams.

September 15:

Please note that Tutorials for the course will be done in the Math Lab,


S525 Ross Building, Monday through Friday from 10:30 AM to 3:30 PM.


I am making available Weekly Schedule of the Math Lab for the Fall Term.

September 14:

I am making available Calculator Instructions for the Texas


Instruments BA II Plus calculator.


Practice exercises for Sections 1.4-1.5:


Section 1.4: #1.4.2, 1.4.3, 1.4.4, 1.4.6;


Section 1.5: #1.5.1, 1.5.2, 1.5.5, 1.5.7, 1.5.10, 1.5.11.

September 08:


To view and/or print  PDF  files you need to download the Acrobat Reader 


Practice exercises for Sections 1.1-1.3:


Section 1.1: #1.1.1, 1.1.3, 1.1.4, 1.1.5, 1.1.6, 1.1.9, 1.1.10;


Section 1.2-1.3: #1.2.1, 1.2.2, 1.2.4, 1.2.7, 1.2.9, 1.2.12, 1.2.14.

Course Information


Term and Session:

Fall 2014

MATH 2280





MWF 1:30-2:20pm, CLH M



Dr. Iulduz Raguimov



S512 Ross



416-736-2100, Ext. 66092 or 416-736-5250


Office Hours:

MF 12:00-13:00, R 16:00-17:00, also by appointment






Weekly Schedule of the Math Lab for the fall Term


Three Tests:

16% each


Final Examination:


Course Description: Actuarial science is the branch of mathematics dealing with insurance and financial risk. This course focuses on interest-only financial calculations (e.g. bonds, loans, mortgages). Topics include: measurement of interest, annuities, amortization of loans, bonds, sinking funds and depreciation. The course is designed to prepare students for the interest theory portion of the FM actuarial exam. This course is at a level aimed at students in the Actuarial Stream, Mathematics for Commerce Honours Program, and requires knowledge of calculus. For a more detailed list of topics with references to the textbook, please see Course Schedule.


Mathematics of Investment and Credit, Fifth Edition

by Samuel A. Broverman


ACTEX Publications, Inc. 2010. ISBN 978-1-56698-767-7

Optional Aid:

Solutions Manual for Mathematics of Investment and Credit, Fifth Edition


by Samuel A. Broverman


Texas Instruments BA II Plus.


Please note that BA II Plus is one of the allowed calculators for the FM exam.



Course Prerequisites:

SC/MATH 1010 3.00 or SC/MATH 1014 3.00 or SC/MATH 1310 3.00.

Course Credit

SC/MATH 2580 6.00, SC/MATH 2581 3.00 and GL/MATH 2680 6.00.


Important Dates:

September 08: Classes commence.

September 22: The last date to enrol in the course without my permission.

October 06: The last date to enrol in the course with my permission.


October 29-November 02: Co-Curricular Days (no classes).


November 07: The last date to drop the course without receiving a final grade.


December 05: Classes end.

December 09-22: Examination period.

Course Schedule

(tentative, subject to any changes announced in class)




Sept 08-12

Introduction, 1.1-1.2

Classes begin on Monday, September 08.

Sept 15-19


Tutorials start this week.

Sept 22-26


September 22 is the last day to enrol without my permission.

Sept 29-Oct 03

1.7, Test #1

Test #1 will take place on Wednesday, October 01.

Oct 06-10

2.1, 2.2


Oct 13-17


No classes will be on Monday, October 13.

Oct 20-24


Oct 27-31


No classes will be on October 29 and 31.

Nov 03-07

Test #2, 3.3

Test #2 will take place on Monday, November 03.

Nov 10-14

4.1, 4.2


Nov 17-21

4.3.1, 5.1


Nov 24-28

5.2, Test #3

Test #3 will take place on Friday, November 28.

Dec 01-05

6.1, Review

Classes end on Friday, December 05.

Dec 09-22

Final Examination


Note: The course will not cover all the sections of each chapter from the Fifth Edition of the textbook.


Throughout the term, practice exercises will be posted to the Announcements section. In order to develop your understanding of the course material you must do all assigned problems. These will not be collected for grading and hence will not directly affect your grade. However, it is extremely important that you complete all assigned exercises. Do not memorize them. Rather, learn how to solve problems like them. Learning Mathematics is not a spectacular sport, it is a participatory event. There is nothing like a bit of computation to strengthen understanding in mathematics! Use the Solutions Manual only after you have tried the problem. Successful students must keep up with homework and seek help for points they do not understand as soon as possible. Do not fall behind! It is recommended to read the relevant sections of the textbook before every class. Next to the classes, working out the answers to the problems is the most important preparation for the tests and exam that will contain for the most part but not exclusively, questions very similar to those from the textbook. It is quite practical to work on your own or together in small groups. Each student should do at least three hours of independent study for every lecture hour. The amount you learn in this course and the grade you receive will be proportional to the amount of time you spend working on problems.
Note: Help is also available in the Math Lab in S525 Ross, 10:30 - 15:30, five days a week.

Exams Information

Lecture/Exam Rules:

All internet connected and other distractive electronic devices (cell phones, pagers, head phones, digital dictionaries, CD players, laptops) need to be turned off during class, i.e. during lectures, tutorials, tests and exams. All such devices as well as all books, papers, knapsacks, and briefcases must be left at the front of a lecture hall during tests and exams. Anyone caught with electronic devices will be charged with Academic Dishonesty (see the next page). The only items you may have at your seat during exams and tests are pens, pencils, eraser, calculator, student ID and purses. Notes need to be taken manually; use of cellphone cameras in class is not allowed. You are responsible for all material covered in lectures.
Note: Photo identification and signing-in are required at all tests and exams.

Final Grade:

The official grades at York University are LETTER grades. Qualitative descriptions of these grades can be found in the York Calendar at this link. Your test marks will be on a numerical scale because these have to be weighted and averaged in various ways, but THERE IS NO AUTOMATIC PREDETERMINED CORRELATION BETWEEN NUMERICAL GRADES AND LETTER GRADES in this course. In particular, the "numerical" grades you receive are NOT to be interpreted as percentages; they are merely 'raw scores'. When the tests are returned in class, the distribution of 'raw scores' will be announced along with an approximate conversion to letter grades. The median letter grade for the course will likely fall between C and C+.
The composition of the final grade is as follows:
Three Tests (50 minutes each written tests held in lecture periods): 16% each (Tentative dates for the tests: Wednesday, October 01; Monday, November 03 and Friday, November 28, 2014);
Final Examination
(three-hour exam scheduled by the Registar's Office): 52% of the overall grade, will take place in December 2014, during the examination period.
Students have five days from the date of the return of test papers to appeal their marks. Some test papers (randomly selected) are photocopied before they are handed back, so we can detect subsequent alterations.

Make-up Policy:

No permission will be given to a student to write tests in advance of their scheduled dates. No make-up will be done for the tests. A missed test will be counted as zero, except under extreme circumstances in which case the corresponding percentage of the overall grade will be "forwarded" to the final exam. If you miss a test for medical reasons, you must turn in within one week following the test date the Attending Physician's Statement form provided here after getting it filled in by your doctor. No other type of medical note will be accepted. However, missing tests is extremely dangerous and not recommended. As experience has shown, students who miss class tests because of some 'mysterious illnesses' will usually average 30% on the final exam.
Student who misses the final examination will be allowed to write a make-up exam only if both of the following conditions are met:
   1) the student notifies me (raguimov@mathstat.yorku.ca) or the Department of Mathematics and Statistics (Undergraduate Office, N502/503 Ross Building, 416-736-2100, Ext. 55902 or 33969) in advance that the exam will be missed;
   2) the student submits within one week following the exam date the Attending Physician's Statement form provided here after getting it filled in by his/her doctor.
Students who miss the final examination and do not meet both conditions will receive a grade of F. It is student's responsibility to fill out and submit the Deferred Standing Agreement form.
Note: Do not make vacation/job plan until the final exam date is known: having a plane ticket for Banff or Hawaii on December 18 is NOT a legitimate excuse for absence from a final exam on December 22.

Religious Observance and Accessibility:

York University is committed to respecting the religious beliefs and practices of all members of the community and making accommodations for observances of special significance to adherents. If any of the dates specified in the course schedule for in-class tests pose such a conflict, students should contact me (raguimov@mathstat.yorku.ca) within the first weeks of classes. Please note that if the final exam date poses a conflict, students must complete the Final Exam Accommodation form, which can be obtained from the Registrarís Office. Please note that York University welcomes feedback on accessibility issues. Your feedback may be provided by sending e-mail to: mathstat@yorku.ca

Academic Honesty:

Students are responsible for familiarizing themselves with University Policies and Regulations. Conduct that violates the ethical or legal standards of the university community or of oneís programme or specialization may result in serious consequences. Refer to the Senate Policy on Academic Honesty. Photo identification and signing-in are required at all tests and exams. Also, some test papers (randomly selected) will be photocopied before they are returned so that subsequent alterations can be detected.


Individual questions can be discussed by e-mail or in person after class, or during office hours. Please send all e-mail notes as plain text within the body of the message. Do not send attachments or HTML-formatted e-mail. No texting, please. Also, if the name of your account is an alias, I will not know who the mail is from unless you sign it; it also risks being accidentally discarded as junk mail. The course web page will be up-dated regularly to include important announcements made in class, such as the material to be covered on the tests. E-mail notes requesting such information contained on the web page will be answered the last.

Important Links and Other Resources

1- Actuarial program at York
2- Be An Actuary
3- EXAM FM/2
4- What does it take?
7- Club Infinity
Local time in Toronto

Questions and comments regarding this web page please send to raguimov@mathstat.yorku.ca

© 2004-2015, All Rights Reserved, York University & Iouldouz S. Raguimov

Last updated January 02, 2015