| Chapter 1: Review and Applications of Basic Mathematics |
| 1.1 Order of Operations |
| 1.2 Fractions |
| | | Definitions |
| | Decimal and Percent Equivalents |
| | Rounding of Decimal and Percent Equivalents |
| | Evaluating Complex Fractions |
| 1.3 The Basic Percentage Problem |
| 1.4 Payroll |
| | Salaries |
| | Hourly Wages |
| | Commissions |
| 1.5 Simple and Weighed Averages |
| 1.6 Taxes |
| | Goods and Services Tax (GST) |
| | Provincial Sales Tax (PST) |
| | Property Tax |
| Appendix 1A The Texas Instruments BA II PLUS Format Settings |
| Appendix 1B Questions from an Institute of Canadian Bankers Self-Test |
Chapter 2: Review and Applications of Algebra |
| 2.1 Operations with Algebraic Expressions |
| | Definitions |
| | Addition and Subtraction |
| | Multiplication and Division |
| | Substitution |
| 2.2 Rules and Properties of Exponents |
| 2.3 Solving a Linear Equation |
| 2.4 Solving Word Problems |
| | A General Approach for Solving Problems |
| 2.5 Application: Percent Change |
| 2.6 Application: Returns From Investments |
| 2.7 Application: Compounding Percent Changes and Rates of Return |
| Review Problems |
| Self-Test Exercise |
Chapter 3: Ratios and Proportions |
| 3.1 Ratios |
| 3.2 Proportions |
| 3.3 Converting Percent Differences to Proportions |
| 3.4 Application: Proration |
| 3.5 Application: Exchange Rates and Currency Conversion |
| 3.6 Application: Index Numbers |
| Review Problems |
| Self-Test Exercise |
Chapter 4: Mathematics of Merchandising |
| 4.1 Trade Discounts |
| 4.2 Cash Discounts and Terms of Payment |
| 4.3 Markup |
| 4.4 Markdown |
| 4.5 Putting It All Together |
| Appendix 4A Other Notations for Terms of Payment |
| Review Problems |
| Self-Test Exercise |
Chapter 5: Applications of Linear Equations |
| 5.1 Solving Two Equations in Two Unknowns |
| 5.2 Cost-Volume-Profit and Break-Even Analysis |
| | Definitions and Assumptions |
| | Contribution Margin Approach to CVP Analysis |
| | Revenue and Cost Function Approach to CVP Analysis |
| 5.3 Introduction to Graphical Techniques |
| 5.4 Graphical Method for Solving Two Equations in Two Unknowns |
| Review Problems |
| Self-Test Exercise |
Chapter 6: Simple Interest |
| 6.1 Basic Concepts |
| 6.2 Determining the Time Period (Term) |
| 6.3 Maturity Value (Future Value) of a Loan or Investment |
| 6.4 Equivalent Payments |
| 6.5 The Equivalent Value of a Payment Stream |
| 6.6 Loans: A Principle About Principle |
| Appendix 6A An Aid for Determining the Number of Days in Each Month |
| Appendix 6B The Texas Instruments BA II Plus Date Worksheet |
| Review Problems |
| Self-Test Exercise |
Chapter 7: Applications of Simple Interest |
| 7.1 Savings Accounts and Short-Term GICs |
| 7.2 The Valuation Principle |
| 7.3 Treasury Bills and Commercial Paper |
| 7.4 Demand Loans |
| | Common Terms and Conditions |
| | Revolving Loans |
| | Fixed-Payment Loans |
| 7.5 Canada Student Loans |
| Appendix 7A Promissory Notes |
| | Concepts and Definitions |
| | Discounting Promissory Notes |
| Review Problems |
| Self-Test Exercise |
Chapter 8: Compound Interest: Future Value and Present Value |
| 8.1 Basic Concepts |
| 8.2 Future Value (or Maturity Value) |
| | Calculating Future Value versus Time Equivalent Payments |
| 8.3 Present Value |
| 8.4 Using Financial Calculators |
| | Key Definitions and Calculator Operation |
| | Cash-Flow Sign Convention |
| 8.5 Other Applications of Compounding |
| | Compound-Interest Investments |
| | Valuation of Investments |
| | Compound Growth |
| 8.6 Equivalent Payment Streams |
| Appendix 8A Instructions for Specific Models of Financial Calculators |
| | Setting the Calculator in the Financial Mode |
| | Setting the Number of Decimal Places Displayed |
| | Setting a Floating Point Decimal |
| | Checking the Contents of a Financial Key's Memory |
| | Other Topics |
| Review Problems |
| Self-Test Exercise |
Chapter 9: Compound Interest: Further Topics and Applications |
| 9.1 Calculating the Periodic Interest Rate |
| 9.2 Calculating the Number of Compounding Periods |
| 9.3 Effective Interest Rate |
| 9.4 Equivalent Interest Rates |
| Appendix 9A Annualized Rates of Return and Growth |
| Review Problems |
| Self-Test Exercise |
Chapter 10: Ordinary Annuities: Future Value and Present Value |
| 10.1 Terminology |
| 10.2 Future Value of an Ordinary Simple Annuity |
| | Future Value Using the Algebraic Method |
| | Future Value Using the Financial Calculator Functions |
| | Contribution of Each Payment to an Annuity's Future Value |
| | Applications of the Future Value of an Annuity |
| 10.3 Present Value of an Ordinary Simple Annuity |
| | Present Value Using the Algebraic Method |
| | Present Value Using the Financial Calculator Functions |
| | Contribution of Each Payment to an Annuity's Present Value |
| | Applications of the Present Value of an Annuity |
| 10.4 Deferred Annuities |
| 10.5 Ordinary General Annuities |
| Review Problems |
| Self-Test Exercise |
Chapter 11: Ordinary Annuities: Payment Size, Term, and Interest Rate |
| 11.1 Calculating the Periodic Payment |
| 11.2 Calculating the Number of Payments |
| 11.3 Calculating the Interest Rate |
| Appendix 11A Derivation of the Formula for n from the Formula for FV |
| Appendix 11B The Trial-and-Error Method for Calculating the Interest Rate per Payment Interval |
| Review Problems |
| Self-Test Exercise |
Chapter 12: Annuities: Special Situations |
| 12.1 Perpetuities |
| 12.2 Constant-Growth Annuities |
| Review Problems |
| Self-Test Exercise |
Chapter 13: Annuities Due |
| 13.1 Future Value of an Annuity Due |
| | Future Value Using the Algebraic Method |
| | Future Value Using the Financial Calculator Functions |
| 13.2 Present Value of an Annuity Due |
| | Present Value Using the Algebraic Method |
| | Present Value Using the Financial Calculator Functions |
| 13.3 Calculating the Periodic Payment, Number of Payments, and Interest Rate |
| 13.4 Putting It All Together |
| Appendix 13A Setting Your Calculator in the Annuity Due Mode |
| Review Problems |
| Self-Test Exercise |
Chapter 14: Loan Amortization; Mortgages |
| 14.1 Loan Balances and Details of Individual Payments |
| | Calculating the Loan Balance |
| | Calculating the Final Payment |
| | Calculating the Interest and Principal Components of a Payment |
| 14.2 Loan Amortization Schedule |
| 14.3 Mortgage Loans: Fundamentals |
| | Basic Concepts and Definitions |
| | Calculating the Payment and Balance Qualifying for a Mortgage Loan |
| | Common Prepayment Privileges and Penalties |
| 14.4 Mortgage Loans: Additional Topics (In Part C of the CD-ROM) |
| | The Effective Cost of Borrowing Valuation of Mortgages |
| Review Problems |
| Self-Test Exercise |
Chapter 15: Bonds and Sinking Funds |
| 15.1 Basic Concepts and Definitions |
| 15.2 Bond Price on an Interest Payment Date |
| | Dependence of Bond Price on Prevailing Interest Rates |
| | Calculating a Bond's Price on an Interest Payment Date |
| 15.3 Yield to Maturity on an Interest Payment Date |
| 15.4 Bond Price on Any Date |
| | Calculating a Bond's Price on Any Date |
| | Quotation of Bond Prices |
| 15.5 Sinking Funds Sinking Fund for a Capital Expenditure |
| | Sinking Fund for Debt Retirement |
| Appendix 15A Amortization of Bond Premiums and Discounts (In Part D of the CD-ROM) |
| | Amortization of a Bond's Premium |
| | Amortization of a Bond's Discount |
| Review Problems |
| Self-Test Exercise |
2003 McGraw-Hill Higher Education