introductory financial mathematics
This project connects real-life scenarios to financial mathematics. The purpose of this project is to apply and synthesize what we have learned over the course of acquiring financial mathematics. It also helps develop generic skills such as team work, communications, information management, critical thinking and analytical reasoning. Fostering deep understanding of financial mathematics with hands-on, problem-solving activities, students are expected to achieve a higher-level of thinking with respect to the applications of financial mathematics in the ever changing world.
-Research and document all the related resources. ï‚·
Write up a final project report which includes the introduction about your project, the details about your project, and the results or findings of your project. ï‚·
The report should not exceed 6 pages including the cover page. The cover page should have the following information: Course Name and Course Code, Instructorâ€™s name, project name, each studentâ€™s name and student number, and date of submission. Please use Arial or Times New Roman (size 12 or 14), double space. Use APA or MLA citation style if it is needed.
-You are about to open your own business and considering taking a loan, from probably different sources.
What type of a business would you open (come up with the name of business, location, hours of operation, etc. and give an explanation why do you think this location, hours and type of the business will succeedâ€”for this study the market, the competition to your business ) ï‚·
Explain whether you would hire employees, what type of payment you would provide to them (salary, hourly rate, etc.) ï‚· Come up with all the possible expenses (utilities, rent, payrolls, etc.) ï‚·
Find out the breakeven point. Estimate your possible average profit over the year. ï‚·
Come up with the total amount of money you need in order to open your business. Give a reasonable explanation whether you can minimize this amount. ï‚·
Assume that you have only 30% of money you need for opening your business. Come up with scheme of borrowing the rest of the money (i.e. whether you just take a loan, or you take a partial loan and partially will get money elsewhere (line of credits, second loan, etc.)) ï‚·
Provide all of the calculations for the landing money and how long it will take to pay them back if your business is doing well.