Course title
MATPre-requisite
Algebra 3-4 (same as ALgebra II)Course description
Brief Description
Students will develop fluency with mathematical reasoning for personal finances. Students will become fluent will Excel spreadsheets to work with computation and simulation of the mathematical concepts. Concepts include: investigating properties of exponential functions; developing skills in manipulating exponential expressions; solving problems and investigate financial applications involving compound interest and annuities; and applying mathematics in making informed decisions about personal finances; consumer options; and investments.
Below are the concept units.
Concept Units for Personal Finance
Personal Earning Power
Compare and contrast hourly; salary; and commission pay schedules.
I can determine the difference between being paid on an hourly; salary; and commission basis.
Use calculator for computational use.
Use a calculator or spreadsheet to automatically generate a function.
Use a calculator or spreadsheet to graphically display data.
Use an excel worksheet to construct a monthly budget.
Determine the correlation between education and salary.
I can determine the effect of higher education on my earning potential.
Understand the components of a paycheck stub. (e.g. health benefits; vacation and sick days; social security; Medicare)
I can explain the various items listed on a paycheck stub.
I can determine what percentage of my gross salary is my take home pay.
Create a monthly budget based on income and expenses.
Solve problems & demonstrate the relationship involving simple interest and linear growth
• ▪I can solve & graph problems computing simple interest. Calculate interest formulas with a graphing calculator.
• Graph; either on a TI-Npire calculator or from data entered into a spreadsheet; data.
• Input formulas into a spreadsheet software and generate a table of values.
• Create bar or line graphs using inputted data with spreadsheet software.
Investments
Solve problems & demonstrate the relationship involving compound interest and exponential growth.
Solve problems involving compound interest.
▪I can calculate interest of compounded interest.
Describe the effect that changes in the parameters of an exponential function of a graph of a compound interest problem.
▪I can contrast and compare simple interest and compound interest.
Calculate and comprehend the Rule of 72. S3C4-05
I can calculate and understand the Rule of 72 and the power of early investment/savings.
Differentiate & interpret concepts in the context of personal situations: Savings Accounts; CD’s & Money Market Accounts; Bonds (US; Junk; Municipal; and Corporate); Real Estate; Collectibles; Mutual Funds & Stocks.
▪I can discover the meaning and use of different investment vehicles for their personal future use.
▪I can differentiate and compare and contrast the benefits and disadvantages of investment vehicles.
Differentiate; interpret; apply and develop concepts in the context of personal situation with regards to IRA’s; ROTH; 403B; 401K; Life Insurance; Stock Portfolios.
▪I can understand the difference of several different investment choices.
Describe the effect that changes n the parameters of a quadratic function have on the shape and position of its graph
(f(x) = a(x-h)2+k)
I can graph the related quadratic function and predict what will happen to the graph of the function as the variables are changed.
Solve problems by using theorems; formulating one or more strategies; applying the strategies; verifying the solution is reasonable.
▪I can plan for my retirement future.
Evaluate reasonableness of the solution of retirement or investment planning of IRA’s; ROTH; 403B; 401K; Life Insurance; Stock Portfolios.
Use mathematical models to represent and analyze personal & professional situations
▪I can use stock data to follow the daily progress of a corporate stock.
▪I can write spreadsheet formulas.
▪I can develop a spreadsheet to follow corporate stock movement and graph the movement.
Synthesize Mathematical information from multiple sources to draw a conclusion.
▪I can compare and contrast stock performance of several stocks and use that information to assist me to make investment decisions.
Solve problems & demonstrate the relationship involving simple interest and linear growth
I can solve & graph problems computing simple interest.
Understanding Credit
Compute finance charges for installment purchases and loans.
▪I can determine how much I will be charged for finance charges. Use calculator for computational use.
• Use “FINANCE” application on graphing calculator.
• Use a calculator or spreadsheet regression feature to automatically generate a function.
• Use a calculator or spreadsheet to graph data or a function.
Compute monthly payments using a formula and technology.
▪I can figure my monthly payments for a loan or credit purchase
Calculate the present value of a single and periodic deposit investment.
I can find the present value of an investment.
Compute an average daily balance.
▪I can compute the average daily balance for a credit card.
Compute the cost of sales tax on automobiles.
▪I can compute the sales tax on a large purchase and apply it to my payment schedule.
Write; interpret (rate of change and y-intercept); and graph a straight line depreciation equation.
▪I can describe the average rate of change and intercepts as they relate to the graph of a depreciation function.
Write; interpret; and graph an exponential depreciation equation.
▪I can estimate the instantaneous rate of change for various points on an exponential depreciation curve
Manipulate the exponential depreciation equation in order to determine original price; and depreciated value.
▪Given an exponential depreciation function; I can find the original price and depreciated value
Use logarithms to determine time.
I can find the inverse of an exponential depreciation function to find time or rate
Ins and Outs of Insurance
Describe various insurance coverage including renter's; homeowner's; automobile; and life insurance.
▪I can describe various insurance coverage’s. Utilize spreadsheet software to determine and compare the costs of various insurance vehicles.
Understand insurance terminology (e.g. deductible; stop loss; elimination period; replacement coverage; and liability.)
▪I understand insurance terminology.
Compute the cost of different types of life insurance.
▪I can compute the cost of various types of life insurance.
Compare and contrast the advantages and disadvantages of different types of life insurance.
▪I can evaluate the advantages and disadvantages of different types of life insurance.
Compare and contrast the advantages and disadvantages of different types of auto coverage.
▪I can evaluate the advantages and disadvantages of different types of auto coverage.
Personal Finance of Real Estate
Examine the variables involved in owning; selling; and renting property.
• ▪I can determine the effects of various expenses on my monthly payment. Use calculator for computational use.
• Use “FINANCE” application on graphing calculator.
Use excel “FUNCTIONS” feature to create a table.
Compute the monthly cost of paying for a house.
▪Given the principal; interest rate; and length of time; I can calculate a monthly mortgage payment.
Create an amortization table for fixed rate and adjustable rate mortgages.
▪I can use an amortization table to compute what percentage of a given payment is going towards the principal.
Understand the advantages and disadvantages of different forms of homes.
▪I can compare the financial responsibilities of owning a house; a condominium; or a townhome.
Taxes Solve problems involving personal taxes
▪I can solve problems involving personal taxes.
Utilize spreadsheet software to determine personal taxes.
Utilize tax-software to determine personal taxes.
Express tax schedules algebraically.
▪I can express tax schedules algebraically.
Compute federal income tax using a tax table and tax schedules.
▪I can compute federal income tax using a tax table or a tax schedule.
Construct income tax graphs using compound equations.
▪I can construct a tax graph using compound equations.
Create an income statement using pay stubs; W-2’s and 1099’s.
▪I can create an income statement using pay stubs; W-2’s and 1099’s
Complete Forms 1040 EZ and 1040A.
▪I can complete Form 1040 EZ and 1040A.
File Form 1040 with itemized deductions.
▪I can file Form 1040 with itemized deductions.
Understand the difference between a tax credit and a tax deduction.
▪I understand the difference between a tax credit and a tax deduction.
*Based on AZ Mathematics College and Work Readiness Standards (2008)
** Aligned to the Common Core Standards (June 2010)