M110
CHAPTER 9
FORMULA CARD
SIMPLE INTEREST FORMULAS
I
= Prt
A
= P (1 + rt )
COMPOUND INTEREST FORMULA
nt
1 + r
A
= P
n
FORMULA FOR FUTURE VALUE OF AN ORDINARY ANNUITY
nt
r
r
A
= R 1 + 1
n
n
FORMULA FOR PAYMENT OF A SINKING FUND
R
=
nt
r
r
A 1 + 1
n
M110
SECTION 2.4
SURVEY PROBLEMS
The number of nuts produced per year is indicated in the following table. Using the letters in the table, find the cardinal
number of each set:
a.
n(A V)
b.
n(F U H)
c.
n(P U (W T)
If n(U) = 100, n(A) = 40, n(B) = 50, and
M110
SECTION 9.5
AMORTIZATION
DAY 1
So you found your dream home. Terrific! Only 30 years of payments and it will be all yours! You took
out a loan from the bank and now you must repay that loan, plus the accumulated interest, in monthly
payments. The pro
M110
SECTION 9.4
ANNUITIES
An annuity is an interest bearing account into which you make a series of payments of the same size. If one
payment is made at the end of every compounding period, the annuity is called an ordinary annuity. The
future value of a
M110
SECTION 9.3
CONSUMER LOANS
Using a credit card is basically receiving a loan from the credit card company. Thus, a finance charge will be
charged to the consumer in the form of an annual fee or interest charges. When do you get charged this finance
c
M110
SECTION 9.2
SIMPLE INTEREST
An ad for a bank states that they pay 5% simple yearly interest on your principal.
Interest is the money that you earn for allowing the bank to use your money. OR, interest is the money
that you pay back to the bank (or ot
M110
SECTION 9.2
COMPOUND INTEREST
Example:
Suppose you invest $2,000 in a bank that pays 10% annual simple interest. How much will you
have in your account after 3 years?
COMPOUND INTEREST is where your money earns interest, but then the interest is rein
CHAPTER 9
SECTION 9.1
CONSUMER MATHEMATICS: THE MATH OF EVERYDAY LIFE
PERCENT
INTRODUCTION
The word percent comes from the Latin phrase per centum which means per hundred.
For instance, if you invest your money at an interest rate of 6%, this means that t
M110 SECTION 5.1
THE EVOLUTION OF NUMERATION SYSTEMS
Do you know what all the following have in common?
1001two
14five

IX
What is a numeration system? A set of numerals and a method of arranging the numerals to represent numbers.
What is the name of our
M110
SECTION 2.3
SET OPERATIONS AND THEIR PROPERTIES
Assume a community soup kitchen is asking for volunteers this Saturday. Create a Venn Diagram with
the following:
U = cfw_xx is a volunteer
C = cfw_xx who will cook
S = cfw_xx will serve food
There a
M110
SECTION 2.2
COMPARING SETS
Equal Sets: Two sets that contain exactly the same elements (order does not matter)
Are the following sets = or ?
A = cfw_t, o, p and B = cfw_p, o, t
A = cfw_xx is a US citizen and B = cfw_xx is born in the US
Equivalent
M110
SECTION 2.1
THE LANGUAGE OF SETS
Introduction to Set Theory
A.
Set: A collection of objects
Example:
The letters in the word tall can be written using set notation as:
T=
or
or
The order in which the elements are written makes no difference, and each