Quantitative Analysis In Finance
- Sciences
- 200 level
- 3 credit units
- 56 pages
- 3 units
This course on Quantitative Analysis in Finance introduces the application of series concepts to core financial principles. It covers arithmetic and geometric series, simple and compound interest calculations, and annuity valuation. Students will learn to solve financial problems related to depreciation, loan amortization, and sinking funds. The course aims to equip students with quantitative skills essential for financial decision-making and analysis in various business contexts.
About this course
- Difficulty
- Intermediate
- Study hours
- 170 hours
- Maths
- Intermediate
- Content
- Theoretical, practical, problem solving
- Practical work
- Yes
- Basic Mathematics
- Introductory Accounting
- Assignments
- Tutor marked assignments
- Final examination
What you'll read
The real module and unit structure of FMT215, taken from the course material NOUN publishes.
One paragraph, so you can see how it reads
FMT215 · Unit 2 : Arithemic Series
Arithmetic sequence is well adapted to certain problems in finance where a fixed amount of money is added regularly to an amount of money, as in the determination of a rent collected over a period of time with a fixed annual increment.
What you should be able to do
- Define and recognize arithmetic and geometric sequences and series.
- Apply formulas to evaluate the sum of arithmetic and geometric series.
- Calculate simple and compound interest.
- Determine the present and future values of annuities.
- Apply quantitative analysis to financial problems related to depreciation.
- Calculate Annual Percentage Rate (APR).
What it prepares you for
- Financial Analyst
- Investment Banker
- Accountant
- Actuary
- Financial Manager
- Banking
- Insurance
- Investment Management
- Corporate Finance
- Real Estate
- Financial Calculators
- Spreadsheet Software
Where it gets hard
The units students slow down on, and what makes each one heavy.
- Module 1: Introduction
Unit 1: Series
Understanding the convergence and divergence of infinite series requires a strong grasp of limits and mathematical intuition.
- Module 2: Core Concepts
Unit 5: Annuity
Calculating the present value of complex annuity streams with varying interest rates demands careful application of discounting techniques.
A suggested way through it
13 weeks, about 134 hours in total. Yours will differ.
- Week 1Module 1: Introduction
Unit 1: Series · 8 hours
Define sequence and series.. Determine the nth term of a sequence.. Calculate the sum of the first n terms of a sequence.. Solve problems related to general series..
Unit 2: Arithemic Series · 7 hours
Define arithmetic sequence and series.. Evaluate arithmetic progressions.. Apply arithmetic progressions to financial problems.. Calculate depreciation using the straight-line method..
- Week 2Module 1: Introduction
Unit 3: Geometric Series · 8 hours
Define geometric sequence and series.. Evaluate the sum of a geometric progression.. Apply geometric progressions to financial problems.. Calculate depreciation using the reducing balance method..
- Week 3Module 2: Core Concepts
Unit 4: Interest · 7 hours
Define basic financial terms (interest, principal, amount).. Explain simple and compound interest.. Calculate simple interest and accrued amounts.. Solve problems related to simple interest..
- Week 4Module 2: Core Concepts
Unit 5: Annuity · 8 hours
Calculate compound interest and accrued amounts.. Determine the Annual Percentage Rate (APR).. Solve problems related to compound interest.. Differentiate between nominal and effective interest rates..
- Week 5Module 1: Introduction
Unit 1: Series · 6 hours
Review series concepts.. Practice problems on arithmetic and geometric series.. Apply series to financial calculations..
Unit 2: Arithemic Series · 6 hours
Review arithmetic series concepts.. Practice problems on arithmetic progressions.. Apply arithmetic progressions to financial calculations..
- Week 6Module 2: Core Concepts
Unit 3: Geometric Series · 6 hours
Review geometric series concepts.. Practice problems on geometric progressions.. Apply geometric progressions to financial calculations..
Unit 4: Interest · 6 hours
Review interest concepts.. Practice problems on simple and compound interest.. Apply interest calculations to financial scenarios..
- Week 7Module 2: Core Concepts
Unit 5: Annuity · 8 hours
Review annuity concepts.. Practice problems on annuity calculations.. Apply annuity calculations to financial planning..
- Week 8Module 1: Introduction
Unit 1: Series · 8 hours
Review all module 1 units. Work on tutor marked assignments for module 1. Prepare for module 1 assessment.
Unit 4: Interest · 8 hours
Review all module 2 units. Work on tutor marked assignments for module 2. Prepare for module 2 assessment.
- Week 9Module 1: Introduction
Unit 1: Series · 8 hours
Practice exam questions on series, arithmetic progressions, and geometric progressions.. Focus on problem-solving techniques and application of formulas..
Unit 4: Interest · 8 hours
Practice exam questions on simple and compound interest.. Focus on understanding the differences and applications of each method..
- Week 10Module 2: Core Concepts
Unit 5: Annuity · 8 hours
Practice exam questions on annuity calculations.. Focus on understanding different types of annuities and their applications..
- Week 11Module 1: Introduction
Unit 1: Series · 8 hours
Review all key concepts and formulas from the course.. Work through additional practice problems to reinforce understanding.. Focus on areas of weakness identified during previous weeks..
- Week 12Module 2: Core Concepts
Unit 4: Interest · 8 hours
Complete any outstanding assignments or tutor-marked assignments.. Seek clarification on any remaining doubts or questions.. Create a study guide summarizing key concepts and formulas..
- Week 13Module 2: Core Concepts
Unit 5: Annuity · 8 hours
Final review of all course materials.. Practice with past exam papers to familiarize yourself with the exam format.. Ensure a thorough understanding of all key concepts and formulas..
Preparing for the exam
- Create a formula sheet summarizing all key equations for quick reference during the exam.
- Practice solving a variety of problems from each unit to build confidence and familiarity.
- Focus on understanding the underlying concepts rather than memorizing formulas.
- Review tutor-marked assignments and identify areas where you need further clarification.
- Allocate your time wisely during the exam, starting with the questions you find easiest.
- Pay close attention to the wording of each question to ensure you understand what is being asked.
- Double-check your calculations and answers before submitting the exam.
- Use discounting tables effectively to save time on present value calculations.
- Practice applying the concepts to real-world financial scenarios to enhance understanding.
Questions students ask about this course
What is FMT215 about?
This course on Quantitative Analysis in Finance introduces the application of series concepts to core financial principles. It covers arithmetic and geometric series, simple and compound interest calculations, and annuity valuation. Students will learn to solve financial problems related to depreciation, loan amortization, and sinking funds. The course aims to equip students with quantitative skills essential for financial decision-making and analysis in various business contexts.
How many units does FMT215 have?
FMT215, Quantitative Analysis In Finance, has 3 units across 2 modules, over 56 pages of course material. You can read it one unit at a time.
How many credit units is FMT215?
FMT215 carries 3 credit units, at 200 level in Sciences.
Is FMT215 hard?
FMT215 is rated intermediate level, with intermediate mathematical content. It is mostly theoretical, practical and problem solving work, and it has a practical component.
How long does FMT215 take to study?
About 170 hours of study, spread across its 3 units.
How is FMT215 assessed?
FMT215 is assessed by assignments, tutor marked assignments and final examination.
What do I need before starting FMT215?
Basic Mathematics Introductory Accounting
What can I do with FMT215?
Financial Analyst, Investment Banker, Accountant, Actuary and Financial Manager.