## Chapter 21 Savings Model Videos and Lecture Notes

 Reading Assignment Video Lecture Notes 21.1 Arithmetic Growth and Simple Interest pages 767 - 769 Section 21.1 Video Section 21.1 Lecture notes 21.2 Geometric Growth and Compound Interest pages 769 - 777 Section 21.2 Video Section 21.2 Lecture notes 21.3 A Limit to Compounding pages 778 - 780 Section 21.3 Video Section 21.3 Lecture notes 21.4 A Model for Saving pages 780 - 784 Section 21.4 Video Section 21.4 Lecture notes 21.5 Present Value and Inflation pages 784 - 788 Section 21.5 Video Section 21.5 Lecture notes

## Chapter 21 Objectives (Skills)

• Apply the simple interest formula to calculate the balance of a savings account.
• Apply the compound interest formula to calculate the balance of a savings account.
• Describe the difference between arithmetic and geometric growth.
• Calculate the APY for a compound interest account.
• Calculate the APY for a compound interest account.
• Use the savings formula or payment formula to determine required deposits into a sinking fund.
• Calculate depreciation of a financial asset, given a negative growth rate.
• Use the Consumer Price Index to find the current cost of goods.

## Quiz 6 Chapter 21 (Sakai-> Tests & Quizzes)

• The quiz for Chapter 21 will be available from 12:00am Apr. 14 - 11:55pm Apr. 29.
• The quiz will consist of 10 multiple choice questions.
• You will have a maximum of four hours to complete the quiz.
• You will be allow two tries. The computer will accept the best score.
• Failure to take the quiz by 11:55pm Apr. 29 will be given a zero. No exceptions!

## Homework Assignments (Sakai -> Assignments)

• Chapter 21
pages 794 - 800 Problems 3, 11, 12, 24, 56
Due by 11:59pm Tuesday April 29
• Use Assignments tool to submit homework.
• Homework help.
• Problem 3. Carefully read Section 21.1 before responding to this exercise.
• Problems 11 and 12. Carefully read Section 21.2 before responding to these exercises.
• Problem 24. Carefully read Section 21.3 before responding to this exercise.
• Problem 56. Carefully read Section 21.5 before responding to this exercises.
• I will NOT accept homework with answers only.

## Companion Website

• Go to the companion website and navigate to applet exercises for chapter 21 and try the applet Saving for Retirement
• In the companion website navigate to Video Clips for chapter 21.
• Watch the movie The Mathematics of Geometric Growth
• Watch the movie A Model for Accumulation
• Watch the movie Exponential Decay
• In the companion website try online quiz for chapter 21.

## Chapter worksheets (Sakai -> Assignments)

Each worksheet will have 10 questions (each worth 1 point). The worksheets are designed to help you understand material. The worksheets are downloadable from the Assignment tool within Sakai as a Microsoft Word (or OpenOffice) and also as a pdf file. You can write on the worksheets and upload your answers or (similar to homework submissions) take a digital picture of your handwritten assignment with a camera or smart phone. All worksheet answers must be submitted within Sakai. The due dates for the worksheets are one week before the due date for homework assignments, so that you can get feedback on problems before submitting your homework and doing your quizzes. DO NOT SUBMIT ASSIGNMENTS VIA EMAILS OR FAXES! I will not accept them! Do not ask to submit late worksheets.

• Due by 11:59 pm Tuesday Apr. 29
• Use the Assignments tool to submit worksheet.

## Discussion Topic (Sakai-> Forums)

• Should you stock up on “forever” stamps? In 2007 the U.S. Postal Service began selling such stamps, which will suffice for first-class postage at any time in the future, even when rates rise. Until rates rise, these stamps currently cost \$0.46. Would it be a good investment to buy a “lifetime supply” of them? To render your judgment, compare the historic increases postal rates (see www.vaughns-1-pagers.com/economics/postal-rates.htm) with the CPI (p. 816). For example, you could convert postal rates at each of the dates of change to the cost in today's dollars, then see if there appears to be a recent trend that you can project into the future.
• Discussion for Chapter 21 will open at 12:00 am Monday April 14
• You are required to participate in the discussion boards.
• Discussion topic will end at 11:55 pm Tuesday April 29
• See the syllabus on the grading rubric for discussions.

## James Baglama

Texting Number: (401) 268-7160
Email: jbaglama@math.uri.edu
Office hours: MWF 11:00am-12:00pm
Office: Lippitt Hall 202H
Office Phone: (401) 874-4412

## For All Practical Purposes

The required textbook, "For All Practical Purposes", 9th edition by COMAP, Publisher W.H. Freeman. Do NOT use an older edition. All students must have either a phyiscal copy of the textbook or an ebook.Click on the textbook above to go to the ebook.

## For All Practical Purposes Campanion Site

The required textbook, The textbook "For All Practical Purposes", 9th edition by COMAP,Publisher W.H. Freeman has a campanion website. The campanion website contains a lot helpful material,e.g. Java Applets, falshcards, practice quizzes. The site can be accessed via the link Campanion or click on the picture above to go to the campanion website.