Financial Mathematics: Interest, Annuities, Depreciation & Project Evaluation

SIMPLE INTEREST
1. ORDINARY SIMPLE INTEREST
2. EXACT SIMPLE INTEREST
COMPOUND INTEREST
RATE OF INTEREST
CONTINUOUS COMPOUNDING
DISCOUNTS

Present worth is located ONE YEAR BEFORE the first payment
Future worth is located at the END OF THE LAST payment
ORDINARY ANNUITY
Present worth is located MORE THAN ONE YEAR BEFORE the first payment
Future worth is located at the LAST payment
DEFERRED ANNUITY
Present worth is located at the FIRST PAYMENT
Future worth is located ONE YEAR AFTER THE LAST payment
ANNUITIES
ANNUITY DUE
PERPETUITY
ANNUITY WITH CONTINUOUSLY COMPOUNDING

ARITHMETIC GRADIENT SERIES
EQUIVALENT UNIFORM AMOUNT
GEOMETRIC GRADIENT SERIES
* Applicable only if i > g
* If i > g

DEPRECIATION
1. STRAIGHT LINE DEPRECIATION (SLM)
2. SINKING FUND METHOD (SFM)
4. DOUBLE DECLINING BALANCE METHOD (DBBM)
3. DECLINING BALANCE METHOD (DBM)

5. SUM OF THE YEAR DIGIT METHOD (SOYD)
6a. SERVICE OUTPUT METHOD (SOM)
6b. SERVICE OUTPUT METHOD (SOM)
a. USING SFM
CAPITAL RECOVERY METHOD
b. USING SLM
CAPITALIZED COST METHOD