**STAT W4840x Theory of Interest** *3 pts.* Prerequisites: MATH V1101 or the equivalent. Introduction to the
mathematical theory of interest as well as the elements of economic and
financial theory of interest. Topics include rates of interest and discount;
simple, compound, real, nominal, effective, dollar (time)-weighted; present,
current, future value; discount function; annuities; stocks and other
instruments; definitions of key terms of modern financial analysis; yield
curves; spot (forward) rates; duration; immunization; and short sales. The
course will cover determining equivalent measures of interest; discounting;
accumulating; determining yield rates; and amortization. CC/GS: Partial Fulfillment of Science Requirement.