Mathematics in the

Modern World
Sherilyn B. Pulido
BSBA-MM 1A1/153
Prof. Daniel S. Falle, LPT, MAEd-CAR
SAVINGS ACCOUNT
 Savings Account
• A savings account is an interest-bearing deposit account held at a bank or other
financial institution. Though these accounts typically pay a modest interest rate,
their safety and reliability make them a great option for parking cash you want
available for short-term needs.
• Savings accounts have some limitations on how often you can withdraw funds,
but generally offer exceptional flexibility that’s ideal for building an emergency
fund, saving for a short-term goal like buying a car or going on vacation, or
simply sweeping surplus cash you don’t need in your checking account so it
can earn more interest elsewhere.
 Savings Account
• Some savings accounts will require a minimum balance in order to avoid
monthly fees or earn the highest published rate, while others will have no
minimum balance requirement. So it’s important to know the rules of your
particular account to ensure you avoid diluting your earnings with fees.
• A savings account is a basic type of bank account that allows you to
deposit money, keep it safe, and withdraw funds, all while
earning interest.
TIME DEPOSIT
ACCOUNT
 Time Deposit Account
• A time deposit is an interest-bearing bank account that has a pre-set date
of maturity. A certificate of deposit (CD) is the best-known example. The
money must remain in the account for the fixed term in order to earn the
stated interest rate.
• Time deposits generally pay a slightly higher rate of interest than a regular
savings account. The longer the time to maturity, the higher the interest
payment will be.
 Time Deposit Account
• A time deposit, also referred to as term deposit, is an interest-bearing bank
account with a fixed term. It allows depositors to grow their money with
higher interest rates compared to a regular savings account.
• When the term is over, depositors can withdraw their money or it can be
renewed and held for another term. While funds can be withdrawn from a
time deposit without prior notice, there are typically penalties for early
withdrawals. The amount of penalty is subject to the total term of the time
deposit and the issuer.
VARIABLE UNIVERSAL
LIFE INSURANCE
 Variable Universal Life Insurance
• Variable life insurance is a permanent life insurance product with separate
accounts comprised of various instruments and investment funds, such as
stocks, bonds, equity funds, money market funds, and bond funds.
• Variable life insurance policies have specific tax benefits, such as the tax-
deferred accumulation of earnings. Provided the policy remains in force,
policyholders may access the cash value via a tax-free loan. However,
unpaid loans, including principal and interest, reduce the death benefit.
STOCKS
 Stocks
• A stock (also known as equity) is a security that represents the ownership
of a fraction of a corporation. This entitles the owner of the stock to a
proportion of the corporation's assets and profits equal to how much stock
they own. Units of stock are called "shares.“
• Stocks are bought and sold predominantly on stock exchanges, though
there can be private sales as well, and are the foundation of many
individual investors' portfolios. These transactions have to conform to
government regulations which are meant to protect investors from
fraudulent practices.
MUTUAL FUNDS
 Mutual Funds
• A mutual fund is a type of financial vehicle made up of a pool of money
collected from many investors to invest in securities like stocks, bonds,
money market instruments, and other assets. Mutual funds are operated by
professional money managers, who allocate the fund's assets and attempt
to produce capital gains or income for the fund's investors
• Mutual funds give small or individual investors access to professionally
managed portfolios of equities, bonds, and other securities
 Mutual Funds
• Each shareholder, therefore, participates proportionally in the gains or
losses of the fund. Mutual funds invest in a vast number of securities, and
performance is usually tracked as the change in the total market cap of the
fund—derived by the aggregating performance of the underlying
investments.