PREFACE

It is the main purpose of this book to present a teachable elementary course in the application of mathematics to a broad class of financial problems.

The material for the book has been obtained from many sources and tested in the teaching of such courses at three large universities. Experience has shown that the material is especially adapted to the needs of the students in schools and colleges of commerce and business administration, although general liberal arts and engineering students also find the course of much value.

The man with a liberal business education should surely be thoroughly and accurately trained in the operation of interest in relation to finance. This course is designed to supply such training. In particular, this book treats of the relation of interest to the amortization of debts, to the creation of sinking funds, to the treatment of depreciation, to the valuation of bonds, to the accumulation of funds in building and loan associations, and to the elements of life insurance.

Three chapters are devoted to an introduction to the elements of the mathematics of insurance. This is not a technical actuarial treatment of insurance, but simply a sufficient introduction to insurance .so that the general business man who studies the book may obtain proper quantitative knowledge about the first principles of life insurance; and, as a student, may come to appreciate the beautiful system of long time finance involved in legal reserve life insurance.

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