math after the 3 exams

19 terms by ezekielfreak

Create a new folder

Like this study set? Create a free account to save it.

Create a free Quizlet account to save it and study later.

Sign up for an account

Already have a Quizlet account? .

Create an account

Advertisement Upgrade to remove ads


The annual interest paid to you


The PV stands for the investment
The R is the interest
The T is the amount o fyears


Is the Future Value or
PV (1+rt)

FV as function of time T

PV + (r*PV) T
FV=5000 + 400T
you can graph this

Simple Interest Growth

This is a linear function of time, with intercept given by the present value and slop given by annual interest

Bridge Loan

A short term loan

The primary way that companies and governments raise money is

Selling Bonds

When a bond matures it

returns the original investment to the investor

Bonds usually last

2 years

An investment earns 5% per year and is worth $1,000 after 9 months. Find PV (or the investment)

The way to do this problem is by using only the
FV= PV(1+rt)
1000=X(1+(.05 * 9/12)

If we know the future value (FV) but not the present value (PV) what do we do

PV = FV / (1+ RT)

The "Maturity Value" of a T(Treasury) Bill

This is the amount of money it will pay at the end of its life, that is, upon maturity

How much will a T-Bill sell for if it has a 5% discount rate and it is a 1 year 10,000 dollars bill.

It will sell for 9500 because you subtracted 5% of %10,000 from $10,000

If the bill is 10,000 and you have a 6 month bill which is half of 12 months (1 year) and the discount rate is 5% then

you cut the 5 percent in half to 2.5% and discount the 10000 with that which is $9,750

So if it is 3 months then you multiply the Month / year times the discount rate to find out the actual selling price discount rate.

For Compounded the formula is

PV=FV / ((1+R/M))^MT

To find M, know that M is how many times per year so if the question states, "Compounded Anually" it is only 1 year so M is 1

Market System

Private ownership of resources and the use of markets and prices to coordinate and direct economic activity

break even point

an out put at which a firm makes a normal profit but not an economic profit.


Profit = P - A X Q

Please allow access to your computer’s microphone to use Voice Recording.

Having trouble? Click here for help.

We can’t access your microphone!

Click the icon above to update your browser permissions above and try again


Reload the page to try again!


Press Cmd-0 to reset your zoom

Press Ctrl-0 to reset your zoom

It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.

Please upgrade Flash or install Chrome
to use Voice Recording.

For more help, see our troubleshooting page.

Your microphone is muted

For help fixing this issue, see this FAQ.

Star this term

You can study starred terms together

NEW! Voice Recording

Create Set