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Course Outlines

OPMT 1110

Business Mathematics

School School of Business + Media
Program Part-time Studies
Course Credits 4
Minimum Passing Grade 50%
Start Date September 11, 2021
End Date November 27, 2021
Total Hours 48
Total Weeks 12
Hours/Weeks 4
Delivery Type Lecture/Lab
Pre-requisites Algebraic skills to at least the Grade 11 level with a minimum 68% final mark. Students who do not have these skills should consider taking OPMT 0199 Math for Business or OPMT 0198 Business Math Assessment Test. Alternatively, students can take OPMT1199 Business Math and Algebra which includes review of algebra and tutorials. This course is designed to support understanding and development of basic skills and is equivalent to OPMT1110 and OPMT0199 combined.
CRN 34884

Acknowledgement of Territories

The British Columbia Institute of Technology acknowledges that our campuses are located on the unceded traditional territories of the Coast Salish Nations of Sḵwx̱wú7mesh (Squamish), səl̓ilwətaɁɬ (Tsleil-Waututh), and xwməθkwəy̓əm (Musqueam).

Instructor Details

Name Illya Kochergin
E-mail Instructor to provide
Location n/a
Office Hours Instructor to provide

Course Description

Reviews basic mathematics applicable to business and industry. Topics include consumer and commercial credit, simple and compound interest, financial instruments and discounting, annuities, mortgages, loans, sinking funds, leases, depreciation methods, capitalized costs, cash flow analysis, NPV and IRR. Emphasis is on maximum use of pre-programmed calculator and practical applications from the field of Financial Management.

Course Learning Outcomes/Competencies

Upon successful completion, the student will be able to:

  • Identify the problem (e.g., to choose the most economical equipment).
  • Formulate the problem elements into mathematical relationships and models.
  • Use appropriate technology to assist in problem solving.
  • Manipulate the relationship and models to provide a solution to the problem.
  • Approximate the solution.
  • Validate the solution.
  • Apply concepts of proportion and percent to business areas such as markup, discounts, budget allocation.
  • Utilize standard functions and graphical techniques to analyze relationships between quantities such as cost, revenue, production volume and profit.
  • Apply the concept of the time value of money.
  • Calculate interest, present and future values using simple interest.
  • Calculate interest, present and future values using compound interest.
  • Analyze interest rates by finding equivalent and effective rates.
  • Calculate payments, present and future values for annuities in budgeting and asset evaluation and for mortgages.
  • Calculate and compare interest on various forms of debt or investments.
  • Create and use amortization tables for various debt instruments.
  • Evaluate investment decisions using methods of payback and discounted cash flow such as net present value and internal rate of return.

Learning Resources

Required:

Course Notes, Business Mathematics, by Don Mallory, Frank Gruen. (any edition)

Students are required to use a business calculator; A Texas Instruments BA II Plus (available from the TNT on the BCIT campus) is required. The course will make extensive hands-on use of the calculator. Keystrokes for other machines will not be covered.

Reference or Recommended:

Mathematics of Finance with Canadian Applications, by S.A. Hummelbrunner

Course Goals

Course Learning Outcomes/Competencies

Upon successful completion, the student will be able to:

  • Identify the problem (e.g., to choose the most economical equipment).
  • Formulate the problem elements into mathematical relationships and models.
  • Use appropriate technology to assist in problem solving.
  • Manipulate the relationship and models to provide a solution to the problem.
  • Approximate the solution.
  • Validate the solution.
  • Apply concepts of proportion and percent to business areas such as markup, discounts, budget allocation.
  • Utilize standard functions and graphical techniques to analyze relationships between quantities such as cost, revenue, production volume and profit.
  • Apply the concept of the time value of money.
  • Calculate interest, present and future values using simple interest.
  • Calculate interest, present and future values using compound interest.
  • Analyze interest rates by finding equivalent and effective rates.
  • Calculate payments, present and future values for annuities in budgeting and asset evaluation and for mortgages.
  • Calculate and compare interest on various forms of debt or investments.
  • Create and use amortization tables for various debt instruments.

Evaluation Criteria

Criteria % Comments
Quizzes (four)20%every quiz is 5%
Midterm Exam30%
Assignment5%
Participation5%
Final Exam40%

Course Schedule and Assignments

Schedule

Session

Date

Outcome / Material Covered

Reference /
Reading

Assignment

Due Date

1

Sep 11

Introduction to the Course

  • percents; ratios and proportions; exchange rates and currency conversion

Mathematics of Merchandising

  • profit calculations, trade and cash discounts, mark-up and mark-down

Introduction to Graphical Techniques

  • graphing a linear equation, the slope-intercept form of linear equation

Chpt. 1- 2

2

Sep 18

Functions and Applications

  • fixed and variable costs; cost-profit-volume analysis

Simple Interest

  • time value of money, calculation of interest
  • cash flow (time) diagrams
  • future value, present value, equivalent value
  • using the calculator

Chpt. 2 – 3

3

Sep 25

Applications of Simple Interest:

valuation principle, t-bills and promissory notes

Compound Interest

  • formula; calculations; comparison with simple interest

QUIZ # 1 (chapters 1-2)

Chpt. 3 – 4

4

Oct 2

Compound Interest

  • effective interest rate; equivalent interest rates; continuous interest rate
  • Equations of equivalent values
  • Choosing the best payment option

Arithmetic and geometric sequences

QUIZ # 2 (chapters 3)

Chpt. 4

5

Oct 9

Simple and General Ordinary Annuities

  • present and future values; periodic payment size; interest rate; number of payments

Midterm Examination

Chpt. 5

6

Oct 16

Simple and General Annuities Due

  • present and future values; periodic payment size; interest rate; number of payments

Deferred Annuities and Perpetuities

Chpt. 5

7

Oct 23

Loan Amortization and Mortgages

QUIZ # 3 (Ch. 5)

Chpt. 5

Mortgage Assignment

8

Oct 30

Bonds and Sinking Funds

Chpt. 5

9

Nov 6

Investment Decisions

IRR, NPV, PBT.

Chpt. 6

Mortgage Assignmnt Due

10

Nov 13

Investment Decisions

Benefit-cost ratio, EUAC.

Chpt. 6

11

Nov 20

QUIZ # 4 (Ch. 6)

Review of Course Material

12

Nov 27

Final Examination 2 Hours and 30 Minutes

BCIT Policy

Any student who needs special assistance in the event of a medical emergency or building evacuation (either because of a disability or for any other reason) should promptly inform their course instructor(s) and Accessibility Services of their personal circumstances.

Human Rights, Harassment and Discrimination:
The BCIT community is made up of individuals from every ability, background, experience and identity, each contributing uniquely to the richness and diversity of the BCIT community as a whole. In recognition of this, and the intrinsic value of our diversity, BCIT seeks to foster a climate of collaboration, understanding and mutual respect between all members of the community and ensure an inclusive accessible working and learning environment where everyone can succeed.

Respect, Diversity, and Inclusion is a supportive resource for both students and employees of BCIT, to foster a respectful learning and working environment. Any student who feels that they are experiencing discrimination or harassment (personal or human rights-related) can confidentially access this resource for advice and support. Please see Policy 7507 – Harassment and Discrimination and accompanying procedure.

Students should make themselves aware of additional Education, Administration, Safety and other BCIT policies listed at https://www.bcit.ca/about/administration/policies.shtml

Guidelines for School of Business + Media

Attempts:
Students must successfully complete a course within a maximum of three (3) attempts at the course. Students with two attempts in a single course will be allowed to repeat the course only upon special written permission from the Associate Dean. Students who have not successfully completed a course within three attempts may not be eligible to graduate from their respective program.

Attendance:
Regular attendance in lectures and labs is seen as integral to student success, therefore, attendance in class is monitored. Unexcused absences in excess of 10% of the time prescribed for this course may result in the assignment of a failing grade. Attendance may be taken at any time during class. A student not present for attendance will be marked absent. A student who leaves class for a period of time deemed excessive by the instructor may be considered absent regardless of whether they are present when attendance is taken.

In case of illness or other unavoidable absence, students must communicate with the instructor, or the appropriate Program Head, as soon as possible (preferably in advance) indicating the reason for the absence. Students who are seeking accommodation for a medical absence must have a BCIT-approved medical certificate ). For other absences, students must be prepared to provide appropriate supporting documentation.

A student who has unexcused absences in excess of 10% of the time prescribed for the course by the Withdrawal Deadline is considered to have ‘Vanished’ and will be assigned a grade of ‘V’. In these cases, no further work will be graded.

These requirements are set out in accordance with BCIT Policy 5101 Student Regulations. More information regarding withdrawals from PTS courses is available at https://www.bcit.ca/pts/pts_withdrawals.shtml.

Approved

I verify that the content of this course outline is current.
Illya Kochergin, Instructor
June 24, 2021

I verify that this course outline has been reviewed.
Sam Choo, Program Head
June 25, 2021

I verify that this course outline has been reviewed.
Ron Wlock, Program Head
June 25, 2021

I verify that this course outline has been reviewed and complies with BCIT policy.
Phil Ramer, Associate Dean
June 28, 2021

Note: Should changes be required to the content of this course outline, students will be given reasonable notice.