MATHS 1009 - Introduction to Financial Mathematics I

North Terrace Campus - Semester 1 - 2023

Together with MATHS 1010 Applications of Quantitative Methods in Finance I, this course provides an introduction to the basic mathematical concepts and techniques used in finance and business, highlighting the inter-relationships of the mathematics and developing problem solving skills with a particular emphasis on financial and business applications. Topics covered are: polynomial, exponential and logarithmic functions; limits, sequences, interest rates and annuities; linear equations, matrices and determinants; Leontief economic models; optimisation (linear programming).

  • General Course Information
    Course Details
    Course Code MATHS 1009
    Course Introduction to Financial Mathematics I
    Coordinating Unit Mathematical Sciences
    Term Semester 1
    Level Undergraduate
    Location/s North Terrace Campus
    Units 3
    Contact Up to 5.5 hours per week
    Available for Study Abroad and Exchange Y
    Incompatible ECON 1005, ECON 1010, MATHS 1011, MATHS 1012, MATHS 1013
    Assumed Knowledge At least C- in SACE Stage 2 Mathematical Methods; or IB Mathematics: at least 3 in applications and interpretations HL, or 4 in analysis and approaches SL
    Restrictions Not available to BMaSc, BMaSc (Adv), BMaCompSc or BCompSc students
    Assessment Ongoing assessment, exam
    Course Staff

    Course Coordinator: Dr Adrian Koerber

    Course Timetable

    The full timetable of all activities for this course can be accessed from Course Planner.

  • Learning Outcomes
    Course Learning Outcomes
    On successful completion of this course students will be able to:
    1. Demonstrate understanding of basic concepts in linear algebra, relating to linear equations, matrices, and optimization.
    2. Demonstrate understanding of concepts relating to functions and annuities.
    3. Employ methods related to these concepts in a variety of financial applications.
    4. Apply logical thinking to problem solving in context.
    5. Use appropriate technology to aid problem solving.
    6. Demonstrate skills in writing mathematics.
    University Graduate Attributes

    This course will provide students with an opportunity to develop the Graduate Attribute(s) specified below:

    University Graduate Attribute Course Learning Outcome(s)

    Attribute 1: Deep discipline knowledge and intellectual breadth

    Graduates have comprehensive knowledge and understanding of their subject area, the ability to engage with different traditions of thought, and the ability to apply their knowledge in practice including in multi-disciplinary or multi-professional contexts.


    Attribute 2: Creative and critical thinking, and problem solving

    Graduates are effective problems-solvers, able to apply critical, creative and evidence-based thinking to conceive innovative responses to future challenges.

  • Learning Resources
    Required Resources
    Outline Course Notes for use in the course will be provided via MyUni.
    Recommended Resources
    Harshbarger, R.J. & Reynolds, J.J., Mathematical Applications for the Management, Life and Social Sciences 12th ed. (Cengage Learning)
    Online Learning

    This course uses MyUni extensively and exclusively for providing electronic resources, such as course notes and videos, assignment and tutorial questions, and worked solutions. Students should make appropriate use of these resources. MyUni can be accessed here:

    Students are also reminded that they need to check their University email on a daily basis. Sometimes important and time-critical information might be sent by email and students are expected to have read it. Any problems with accessing or managing student email accounts should be directed to Technology Services.

  • Learning & Teaching Activities
    Learning & Teaching Modes
    This course relies on videos to guide students through the course material, tutorial classes to provide students with small group and individual assistance, and a sequence of written and online assignments to provide formative assessment opportunities for students to practice techniques and develop their understanding of the course.

    We provide additional support via discussions on MyUni and via "drop-in" help.

    The information below is provided as a guide to assist students in engaging appropriately with the course requirements.

    Activity Quantity   Workload hours
    Course Notes & Videos 1 set 72
    Tutorials & Practice 11 22
    Assignments 11 55
    Mid Semester Test 1 7
    Total 156
    Learning Activities Summary
    The two topics of algebra and functions & annuities detailed below are taught in parallel. The tutorials are a combination of the two topics, pertaining to the previous week's content.

    Topic Outline


    • Linear Equations and Matrices
      • Algebra of matrices and vectors.
      • Systems of linear equations, elementary row operations, Gauss-Jordan elimination.
      • Inverse of a matrix and applications to solution of systems of equations.
    • Leontief Economic Models
      • Leontief open and closed economic model. Determinants.
    • Optimization
      • Linear inequalities, linear programming problems, geometric and algebraic solution.
      • Simplex algorithm.
    Functions & Annuities

    • Functions
      • Linear and quadratic functions with applications. Domain, graph and composition of functions.
      • Simple rational functions, modulus, piecewise defined functions.
      • Exponential and logarithmic functions.
      • Limits and continuity.
    • Financial Mathematics
      • Arithmetic and geometric sequences.
      • Simple and compound interest.
      • Present and future values.
      • Continuous compounding.
      • Annuities, loans and amortization.
  • Assessment

    The University's policy on Assessment for Coursework Programs is based on the following four principles:

    1. Assessment must encourage and reinforce learning.
    2. Assessment must enable robust and fair judgements about student performance.
    3. Assessment practices must be fair and equitable to students and give them the opportunity to demonstrate what they have learned.
    4. Assessment must maintain academic standards.

    Assessment Summary
    Assessment Task Task Type Weighting Hurdle criteria Learning Outcomes
    Written Assignments Formative and Summative 25% all
    Mid Semester Test Summative and Formative 15% 1,2,3,4
    Final Exam Summative 60% 40% 1,2,3,4,6
    Assessment Related Requirements
    The final exam has a hurdle requirement: students must achieve at least 40% on the final exam in order to pass the course.

    An overall score of 50% is required to pass the course.
    Assessment Detail

    No information currently available.


    No information currently available.

    Course Grading

    Grades for your performance in this course will be awarded in accordance with the following scheme:

    M10 (Coursework Mark Scheme)
    Grade Mark Description
    FNS   Fail No Submission
    F 1-49 Fail
    P 50-64 Pass
    C 65-74 Credit
    D 75-84 Distinction
    HD 85-100 High Distinction
    CN   Continuing
    NFE   No Formal Examination
    RP   Result Pending

    Further details of the grades/results can be obtained from Examinations.

    Grade Descriptors are available which provide a general guide to the standard of work that is expected at each grade level. More information at Assessment for Coursework Programs.

    Final results for this course will be made available through Access Adelaide.

    Replacement and Additional Assessment Examinations (R/AA Exams)

    Students are encouraged to read the University's R/AA exam information on the University’s Examinations webpage here:
  • Student Feedback

    The University places a high priority on approaches to learning and teaching that enhance the student experience. Feedback is sought from students in a variety of ways including on-going engagement with staff, the use of online discussion boards and the use of Student Experience of Learning and Teaching (SELT) surveys as well as GOS surveys and Program reviews.

    SELTs are an important source of information to inform individual teaching practice, decisions about teaching duties, and course and program curriculum design. They enable the University to assess how effectively its learning environments and teaching practices facilitate student engagement and learning outcomes. Under the current SELT Policy ( course SELTs are mandated and must be conducted at the conclusion of each term/semester/trimester for every course offering. Feedback on issues raised through course SELT surveys is made available to enrolled students through various resources (e.g. MyUni). In addition aggregated course SELT data is available.

  • Student Support
  • Policies & Guidelines
  • Fraud Awareness

    Students are reminded that in order to maintain the academic integrity of all programs and courses, the university has a zero-tolerance approach to students offering money or significant value goods or services to any staff member who is involved in their teaching or assessment. Students offering lecturers or tutors or professional staff anything more than a small token of appreciation is totally unacceptable, in any circumstances. Staff members are obliged to report all such incidents to their supervisor/manager, who will refer them for action under the university's student’s disciplinary procedures.

The University of Adelaide is committed to regular reviews of the courses and programs it offers to students. The University of Adelaide therefore reserves the right to discontinue or vary programs and courses without notice. Please read the important information contained in the disclaimer.