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  • DSC1630 - Introductory Financial Mathematics (INTRODUCTORYFINANCIALMATHEMATICS)
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Exam (elaborations)

DSC1630 Assignment 3 Semester 1 & 2

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DSC1630 Assignment 3 Semester 1 & 2 with elaborations and calculations

Institution
University Of South Africa (Unisa)
Course
DSC1630 - Introductory Financial Mathematics (INTRODUCTORYFINANCIALMATHEMATICS)









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Institution
University of South Africa (Unisa)
Course
DSC1630 - Introductory Financial Mathematics (INTRODUCTORYFINANCIALMATHEMATICS)
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Uploaded on
July 5, 2021
Number of pages
8
Written in
2020/2021
Type
Exam (elaborations)
Contains
Questions & answers

Subjects

  • introductory
  • financial
  • mathematics

Content preview

DSC1630
ASSIGNMENT 3 SEMESTER 1 & 2 2021

UniQUE NUMBER: 285271
Solutions, ExPLANATIONS, WORKINGS, AND REfeRences



+27 61 844 1387




1= 4 The time line is:




In this case we firstly need to change the quarterly compounded interest rate to a
monthly compound interest rate using the above formula.




Secondly, we use the new monthly interest rate to calculate the future value of the
annuity:

, 2=1 The time line is:




Now given are the value she would need or future value S of R145 000, the
compound interest rate jm of 11,05% and monthly compounding periods (m = 12).
Asked is the size of her monthly deposits.
Thus
$3.09
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