Understanding Financial Basics: An Introduction to Interest, Time Value of Money, and their Applications for Undergraduate Non-Math Majors

Abstract: This text is mainly focused on undergraduate students who have not taken mathematics as their major subject. So, it describes the context from the very scratch. It begins with the concept of interest on deposits or investments, which is very familiar even for a beginner. It explains time value of money, simple and compound interest which are the basic and simple concepts known to all with some of its applications.

Keywords: Rate of interest, Time value of money, simple and compound interests, annuities, force of interest

Edition: Volume 12 Issue 12, December 2023,

Pages: 430 - 437