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Business Math Handbook
Business Math Handbook
Business Math Handbook
Jeffrey Slater
North Shore Community College
Danvers, Massachusetts
Sharon M. Wittry
Pikes Peak Community College
Colorado Springs, Colorado
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Published by McGraw-Hill/Irwin, an imprint of The McGraw-Hill Companies, Inc., 1221 Avenue of the
Americas, New York, NY 10020. Copyright © 2014, 2011, 2008 by The McGraw-Hill Companies, Inc. All
rights reserved. Printed in the United States of America.
No part of this publication may be reproduced or distributed in any form or by any means, or stored in a
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1 2 3 4 5 6 7 8 9 0 ROV/ROV 0
ISBN 978-0-07-753380-9
MHID 0-07-753380-1
www.mhhe.com
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
1
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
2
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
3
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
4
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
5
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
6
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
7
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
8
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
9
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
10
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
11
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
12
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
13
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
14
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
15
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
16
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
17
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
18
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
19
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
20
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
21
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
22
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
23
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
24
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
25
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
26
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
27
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
28
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
29
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TABLE 12-1 TABLE 12-3 TABLE 13-1 TABLE 13-2 TABLE 13-3
COMPOUND PRESENT AMOUNT OF PRESENT VALUE SINKING
VALUE VALUE ANNUITY OF ANNUITY FUND VALUE
PERIOD OF $1 OF $1 OF $1 OF $1 OF $1
30
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Currencies 1/3/2012
U.S.-dollar foreign-exchange rates in late New York trading
US$ vs, US$ vs,
—Fri— YTD chg —Fri— YTD chg
Country/currency in US$ per US$ (%) Country/currency in US$ per US$ (%)
Americas Europe
Argentina peso* .2321 4.3089 8.6 Czech Rep. koruna .05063 19.751 5.8
Brazil real .5360 1.8657 12.3 Denmark krone .1743 5.7373 3.1
Canada dollar .9794 1.0210 2.6 Euro area euro 1.2960 .7716 3.3
Chile peso .001924 519.86 11.1 Hungary forint .004113 243.14 17.7
Colombia peso .0005153 1940.50 1.1 Norway krone .1673 5.9766 2.6
Ecuador US dollar 1 1 unch Poland zloty .2901 3.4470 16.9
Mexico peso* .0717 13.9461 13.1 Russia ruble‡ .03110 32.150 5.2
Peru new sol .3709 2.696 ⴚ3.9 Sweden krona .1453 6.8800 2.6
Uruguay peso† .05047 19.8130 1.9 Switzerland franc 1.0670 .9372 0.2
Venezuela b. fuerte .229885 4.3500 unch 1-mos forward 1.0675 .9368 0.2
3-mos forward 1.0691 .9354 0.2
Asia-Pacific 6-mos forward 1.0718 .9330 0.1
Australian dollar 1.0208 .9796 0.3 Turkey lira** .5217 1.9170 23.5
1-mos forward 1.0170 .9832 0.2 UK pound 1.5542 .6434 0.4
3-mos forward 1.0107 .9894 0.1 1-mos forward 1.5537 .6436 0.4
6-mos forward 1.0024 .9976 ⴚ0.2 3-mos forward 1.5528 .6440 0.4
China yuan .1583 6.3190 ⴚ4.3 6-mos forward 1.5513 .6446 0.4
Hong Kong dollar .1288 7.7669 ⴚ0.1
India rupee .01886 53.025 18.3 Middle East/Africa
Indonesia rupiah .0001107 9033 1.6
Bahrain dinar 2.6520 .3771 unch
Japan yen .013001 76.92 ⴚ5.2
Eqypt pound* .1653 6.0498 6.3
1-mos forward .013008 76.88 ⴚ5.5
Israel shekel .2624 3.8110 7.8
3-mos forward .013025 76.78 ⴚ5.6
Jordan dinar 1.4095 .7095 0.1
6-mos forward .013054 76.60 ⴚ5.6
Kuwait dinar 3.5945 .2782 ⴚ1.3
Malaysia ringgit .3147 3.1775 5.1
Lebanon pound .0006645 1504.95 0.4
New Zealand dollar .7776 1.2860 0.3
Saudi Arabia riyal .2666 3.7504 unch
Pakistan rupee .01113 89.845 4.9
South Africa rand .1237 8.0873 22.2
Philippines peso .0228 43.850 0.3
UAE dirham .2722 3.6731 unch
Singapore dollar .7713 1.2965 1.1
South Korea won .0008616 1160.60 5.6
Taiwan dollar .03304 30.265 4.2 *Floating rate †Financial ‡
Russian Central Bank rate
**Commercial rate
Thailand baht .03165 31.600 7.3
Vietnam dong .00004753 21038 8.2 Source: ICAP plc.
31
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One Withholding
Payroll Period Allowance
Weekly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 73.08
Biweekly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 146.15
Semimonthly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 158.33
Monthly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 316.67
Quarterly . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 950.00
Semiannually . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900.00
Annually . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800.00
Daily or miscellaneous (each day of the payroll period) . . . . 14.62
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Term Interest
in years 312 % 5% 521 % 612 % 7% 721 % 8% 821 % 9% 912 % 10% 1012 % 11% 1112 %
10 9.89 10.61 10.86 11.36 11.62 11.88 12.14 12.40 12.67 12.94 13.22 13.50 13.78 14.06
12 8.52 9.25 9.51 10.02 10.29 10.56 10.83 11.11 11.39 11.67 11.96 12.25 12.54 12.84
15 7.15 7.91 8.18 8.72 8.99 9.28 9.56 9.85 10.15 10.45 10.75 11.06 11.37 11.69
17 6.52 7.29 7.56 8.12 8.40 8.69 8.99 9.29 9.59 9.90 10.22 10.54 10.86 11.19
20 5.80 6.60 6.88 7.46 7.76 8.06 8.37 8.68 9.00 9.33 9.66 9.99 10.33 10.67
22 5.44 6.20 6.51 7.13 7.44 7.75 8.07 8.39 8.72 9.05 9.39 9.73 10.08 10.43
25 5.01 5.85 6.15 6.76 7.07 7.39 7.72 8.06 8.40 8.74 9.09 9.45 9.81 10.17
30 4.50 5.37 5.68 6.33 6.66 7.00 7.34 7.69 8.05 8.41 8.78 9.15 9.53 9.91
35 3.99 5.05 5.38 6.05 6.39 6.75 7.11 7.47 7.84 8.22 8.60 8.99 9.37 9.77
Term Interest
in years 1134 % 12% 1221 % 1243 % 13% 1321 % 1343 % 14% 1421 % 1443 % 15% 1512 %
10 14.21 14.35 14.64 14.79 14.94 15.23 15.38 15.53 15.83 15.99 16.14 16.45
12 12.99 13.14 13.44 13.60 13.75 14.06 14.22 14.38 14.69 14.85 15.01 15.34
15 11.85 12.01 12.33 12.49 12.66 12.99 13.15 13.32 13.66 13.83 14.00 14.34
17 11.35 11.52 11.85 12.02 12.19 12.53 12.71 12.88 13.23 13.41 13.58 13.94
20 10.84 11.02 11.37 11.54 11.72 12.08 12.26 12.44 12.80 12.99 13.17 13.54
22 10.61 10.78 11.14 11.33 11.51 11.87 12.06 12.24 12.62 12.81 12.99 13.37
25 10.35 10.54 10.91 11.10 11.28 11.66 11.85 12.04 12.43 12.62 12.81 13.20
30 10.10 10.29 10.68 10.87 11.07 11.46 11.66 11.85 12.25 12.45 12.65 13.05
35 9.96 10.16 10.56 10.76 10.96 11.36 11.56 11.76 12.17 12.37 12.57 12.98
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