In our everyday living, Mathematics is all around. Whatever we do, there is an application of Mathematics especially Math of Investment.

            According to Orlando A. Oronce in his book entitled General Mathematics, Finance is defined as “the system that includes the flow of money, the granting of credit, making of investments, and the provision of banking facilities.”  Examples of these are the Simple Interest, Compound Interest, Simple Annuity, General Annuity and Stocks and Bond.

            Simple Interest can be applied to loans, returns on an investment and duration of an investment. Compound Interest may be applied in future value, present value and compairing investments. Simple Annuity is applicable in regular investment for a goal, loans, retirement planning, educational plan and amortization while General Annuity can be used in compairing investments, retirement planning and saving money. And lastly, the Stocks and Bonds can be applied in buying stocks, income in stocks and bonds and wise investment.

            Those are some of the many applications and importance of Math Investment in our everyday life. If we are knoledgeable about it, we can maximize the use of our money and save for the future.

Reference: Orlando A. Oronce, General Mathematics, (Rex Book Store, Inc., 2016)

By: Angelyne E. Pedron | Teacher III | Orani National High School Main