Stat 274: Theory of Interest
Fall 2024
TuTh 9:30-10:45 am
299 TMCB
Syllabus
Announcements
In this course we focus on how money grows over time and how to use that information to optimize both corporate and personal finances. This class qualifies for exam FM credit through the SOA University Earned Credit Program.
Lecture Slides
Chapter 1 - The growth of money
Chapter 2 - Equations of value and yield rates
Chapter 3 - Annuities
Chapter 5 - Loan Repayment
Chapter 6 - Bonds
Chapters 8 and 9 - Term Structure and Interest Rate Sensitivity
Homework
Assignment 1 - Solution
Assignment 2 - Solution
Assignment 3 - Solution
Assignment 4 - Solution
Assignment 5 - Solution
Assignment 6 - Solution
Assignment 7 - Solution
Assignment 8 - Solution
Exams
Practice Midterm: Problems - Solution
Practice Final: Problems - Solution
SOA Exam FM
Website
Practice Questions and Solutions
Notation
Online Sample Exam
Bonus Material
Helpful formula sheet
Personal Finance and Financial Independence
Behavioral Economics
Home Affordability Workbook
Financial Independence Workbook
Mortgage Calculator
Bond Amortization Workbook
Interest Rate Sensitivity Workbook
Acknowledgements
Thanks to Keith Freeland, Chris Groendyke, and Dave Hudak.