Question 1(a): Dollar-Weighted Rate of Interest
Dollar-weighted rate of interest is also known as dollar-weighted rate of return to an equation
of value. Using this theorem, the interest rate is brought to test on several attempts to find the
approximate
MAT1054 Theory of Interest
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CHAPTER 3
RATE OF RETURN OF AN INVESTMENT
3.1)
Introduction
In any kind of financial transactions (such as an investment, a loan,
MAT1054 Theory of Interest
BSc (Hons) in Actuarial Studies
BSc (Hons) in Financial Analysis
BSc (Hons) in Financial Economics
CHAPTER 4
LOAN REPAYMENT
4.1)
Introduction
A loan is an arrangement in which a lender gives money or property to a borrower, and
BAS/ BFA/ BFE
MAT1034 Introduction to Probability
CHAPTER 4
Multivariate Probability Distribution
4.1) Bivariate Probability Distribution
In a simple experiment, perhaps having one variable is sufficient. But for more complex
experiments, we might need mo
BAS/ BFA/ BFE
MAT1034 Introduction to Probability
CHAPTER 3
Continuous Random Variables and Their Probability Distributions
3.1) Probability Density Function (pdf)
A continuous random variable is a random variable whose are not countable; it can
assume an
BAS/ BFA/ BFE
MAT1034 Introduction to Probability
CHAPTER 6
Sampling Distribution and Central Limit Theorem
6.1)
Introduction
Certain functions of the random variables observed in a sample are used to estimate or
make decisions about unknown population pa
BAS/ BFA/ BFE
MAT1034 Introduction to Probability
CHAPTER 5
Functions of Random Variables
5.1) Transformations of Distributions
In some problems, we are given the distribution function f X ( x ) of a random variable X ,
but we need the distribution of the
MAT1054 Theory of Interest
BSc (Hons) in Actuarial Studies
BSc (Hons) in Financial Analysis
BSc (Hons) in Financial Economics
CHAPTER 2
ANNUITIES
2.1)
Introduction
Most of the financial transactions we encounter today involve a series of payments, such
as
MAT1054 Theory of Interest
BSc (Hons) in Actuarial Studies
BSc (Hons) in Financial Analysis
BSc (Hons) in Financial Economics
CHAPTER 1
INTEREST RATE MEASUREMENT
1.1)
Introduction
Almost everyone is involved in some form of financial transaction. When len
MAT1034 Introduction to Probability
BAS/ BFA/ BFE
CHAPTER 2
Discrete Random Variables and Their Probability Distribution
2.1)
Random Variables
A random variable, X is said to be discrete if it can assume only a finite or countably
infinite number of disti
BAS/ BFA/ BFE
MAT1034 Introduction to Probability
CHAPTER 1
General Probability
1.1) Basic Probability Concepts
Probability models are based on experiments, such as flipping coin or tossing a pair of
dice. Suppose that the outcome of an experiment is unce