Pamantasan ng Lungsod ng Maynila

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University
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PLM Business School-Department of Business Economics
COURSE CODE: MATHEMATICS OF INVESTMENT
2nd Semester, AY 2023-2024

CHAIRMAN’S MESSAGE
The key to successfully finish this online course lies in your hands. This module was
prepared by your assigned course Professor for you to learn diligently, intelligently, and
independently. As future to-be-Economist, doing this will greatly help and prepare you
to become a great Economist. Aside from meeting the content and performance
standards of this course in accomplishing the given activities, you will be able to learn
other invaluable learning skills with you will be very proud of as a responsible learner.
The following guides and house rules will help you further to be on track and say at the
COURSE GUIDE

end of the module. “I did well”.

1. Schedule and manage your time to read and understand every part of the
module. Read it over and over until you understand the point. Please note that
due to the problems on erratic internet connections and to be able to cooperate
with the government in observing the ECQ protocols, this online course will be
delivered either synchronously or asynchronously.
2. Study how you can manage to do the activities of this course in consideration of
your other modules from other courses. Be very conscious with the study schedule.
Post it in a visible place so that you can always see it. Do not ask your course
facilitator about questions that are already answered in the guide.
3. Log in to the course site at least thrice a week (if you can log in daily, please do
so) and as scheduled to keep abreast of important announcements, discussions,
and other class activities. Check the STREAM page every time you log in for
possible announcements.
4. Do not procrastinate. Remember, it is not others who will be short-changed if you
will do not work on time.
5. Before you start doing your tasks. Read and understand the assessment tools
provided. Do not settle with the low standards, target the highest standards in
doing your assigned tasks. I know you can.
6. You are free to browse and read the different materials even prior to doing the
tasks in each unit of the module. However, you need to ensure that you will not
miss any part of the module and you will not be missed to accomplish every
activity in every unit as scheduled.
7. All course discussions will be conducted using MS TEAMS. If you will be using mobile
app of MS TEAMS, stay logged in so you can engage in the discussion anytime
and anywhere. If you are using the desktop app, regularly log in to stay in the
discussion.

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 8. All the discussions are academic discussions, which mean that the relevant
academic conventions apply.
a. Your post should be composed of complete and grammatically correct
sentences. Do not use abbreviations and acronyms unless these are
introduced in the readings, and do not write in text-speak. Avoid writing in
all caps.
b. Post appropriate and well-thought rejoinders. Avoid merely approving or
disapproving with your classmates and facilitators. You need to support
your inputs in the discussions from reliable information and resources. Do not
post uninformed opinions.
c. Read and analyze the contributions made by your classmates in the
discussion forums. Respond appropriately and courteously. Always use
proper language.
d. Be polite and respectful arguing a point and in defending your opinions. Do
not be rude and do not make remarks that may be construed as a personal
attack. Refer to ideas/statements, not the person. Remember that the
objective of academic discussion is to develop your critical and analytical
thinking skills apart from contributing to the wealth of knowledge.
COURSE GUIDE

e. Do not post lengthy contributions. Stick to the point. Be clear what your
main point is and express it as concisely as possible. Do not let the discussion
stray.
f. Quote your sources in the online discussion by mentioning the last name of
the author and the year. No need to use a particular style.
g. Protect your privacy. Ponder before you post. If you wish to share something
private, do it by email or private chat.
9. Follow the schedule of course activities. Always remind yourself of deadlines. Read
in advance. Try to anticipate possible conflicts between your personal schedule
and the course schedule and make the appropriate adjustments. Try your best to
inform to any means your course facilitator for any unavoidable delays or
“absences” or “silences” of more than a week’s duration or other concerns.
10. Note that our MS TEAMS is a virtual learning environment, not a social networking
site. Use recent and appropriate ID photo on your profile page for proper
identification.
11. Lastly, you are the learner: hence, you do the module on your own. Your family
members and friends at home will support you but the activities must be done by
you.*

*Additional requirements will apply as prescribed by your assigned course Professor.

Course Description Credit Units: 3

This course deals with the basic mathematical tools and operations needed in solving various
problems in investment and other financing transactions. It covers the following topics: simple
and compound interest, discount, annuities, amortization, sinking funds, and depreciation.
Course Outcomes

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 A. Understand the financial transactions people are engaging into.
B. Solve money matter problems, particularly computing the future value,
present value and regular payments made in a financial transaction.
C. Solve problems involving amortization of debt and creation of wealth.
D. Apply the concept of depreciation computation in a capital resource of
a company.

Course Outline

Unit 1. Simple Interest and Simple Discount

Module 1: Exact and Ordinary Interest
Module 2: Interest between Dates
Module 3: Final Amount and Present Value of Simple Interest
Module 4: Simple Discount and Promissory Note
Unit 2. Compound Interest
Module 1: Present Value and Compound Discount
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Module 2: Finding the Time and Rate by Linear Interpolation

Module 3: Nominal and Effective Rates
Module 4: Equivalent Rates
Unit 3. Simple Annuities
Module 1: Ordinary Annuity (Ao)
Module 2: Annuity Due (Adue)
Unit 4. General Annuities
Module 1: General Ordinary Annuity
Module 2: General Annuity Due
Unit 4. Amortization and Sinking Fund
Module 1: Amortization
Module 2: Sinking Fund
Unit 5. Depreciation
Module 1: Straight-Line-Method & Declining-Balance Method
Module 2: Sum-of-the-Years-Digit Method (SYD) & Unit-Product-Method

Course Materials

• E-books: Mathematics of Investment by Winston Sirug.

• Desktop, laptop, tablet, or mobile phone
• Internet connectivity

Study Schedule

WEEK TOPICS ACTIVITY

Engage: Remember me
Course Orientation
Explore: Let us discover
Week 1: Exact and Ordinary
Explain: Together we
Interest
learn
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 Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Explain: Together we
Interest between Dates
Week 2: learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Final Amount and Present Explain: Together we
Week 3: learn
Value of Simple Interest
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
COURSE GUIDE

Explore: Let us discover

Simple Discount and Explain: Together we
Week 4: Promissory Note learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Present Value and Explore: Let us discover
Compound Discount Explain: Together we
Week 5: learn
Elaborate: Learning
deeper
Evaluate: Answer me
Finding the Time and Engage: Remember me
Rate by Linear Explore: Let us discover
Interpolation Explain: Together we
Week 6: learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Explain: Together we
Nominal and Effective
Week 7: learn
Rates
Elaborate: Learning
deeper
Evaluate: Answer me

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 Engage: Remember me
Explore: Let us discover
Explain: Together we
Week 8: Equivalent Rates learn
Elaborate: Learning
deeper
Evaluate: Answer me
Week 9: Midterm Examinations

Engage: Remember me
Explore: Let us discover
Ordinary Annuity (Ao) Explain: Together we
Week 10: learn
Elaborate: Learning
deeper
COURSE GUIDE

Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Explain: Together we
Annuity Due (Adue)
Week 11: learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
General Ordinary Explain: Together we
Week 12: Annuity learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Explain: Together we
General Annuity Due
Week 13: learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Amortization
Explain: Together we
Week 14:
learn
Elaborate: Learning
deeper

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 Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Explain: Together we
Week 15: Sinking Fund learn
Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Straight-Line-Method & Explain: Together we
Week 16: Declining-Balance learn
Method Elaborate: Learning
deeper
Evaluate: Answer me
Engage: Remember me
Explore: Let us discover
Sum-of-the-Years-Digit Explain: Together we
COURSE GUIDE

Week 17: Method (SYD) & Unit- learn

Product-Method Elaborate: Learning
deeper
Evaluate: Answer me
Week 18: Final Examinations

Course Requirements

To pass the course, you must:

1. Read all course reading and watch the videos provided for additional
learnings, answer the self-assessment activities, and reflection questions.
2. Answer the print-based discussion activities.
3. Submit four assignments and two graded quizzes for midterms and finals.
4. Do the mid-term and final examination.

Formative Assessment Activities

• You are required to answer the self-assessment activities, and reflection
questions but your scores will not be counted towards your final grade.
• The reflection questions are designed to help you to critically analyze the
course readings for better understanding while the pre-assessment quizzes
and self-assessment activities are designed as a review management tool
to prepare you for the four graded quizzes and the periodical examinations.
• The self-assessment activities, and reflection questions are required so you
can take it anytime within the scheduled days assigned for each unit.

Evaluative Assessment Activities

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 A. Quizzes and Examination
• The four graded quizzes and periodical evaluation which are
embedded in your module must be answered guided by the given
evaluation tool. If needed, I will call you by phone for further validation
and verification purposes after checking your papers.
B. Assignments and Final Project
There will be four assignments that will comprise the final project for this
course. The evaluation tools for these assignments are all provided in the
module.
• Assignment #1: Solve word problems about simple interest
• Assignment #2: Solve word problems about compound interest
• Assignment #3: Solve word problems involving annuity
• Assignment #4: Create an amortization and sinking fund schedule.

Technological Tools

To be able to accomplish all the tasks in this course, you will be needing the
following software applications: Word Processing, Presentation, Publication and
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Spreadsheet. These are applications that are available in your desktops or laptops
that will not require internet connection for you to use them. All materials and
activities that will involve discussions on the use of net-based productivity tools will
be video recorded and will be posted in our MS TEAMS classroom.

Grading System

Grading System
Class Standing (60%)
Quizzes (20%)
Assignments (10%)
Recitation (10%)
Seatworks (10%)
Attendance (10%)
Midterm Exams (20%)
Final Exams (20%)
TOTAL: 100% = Final Grade

Feedback system will be facilitated through text messaging: hence, you need to
have with you a cellphone. If you need to call, or you want to talk to me, send me
a message first and wait for me to respond. Do not give my CP number to anybody.
I will not entertain messages or calls that are not registered in my phone. Hence, use
only the CP number you submitted to me.