What This Document Is
These are notes compiled for the first exam in Baruch College’s Principles of Finance (FIN 3000) course. The notes cover foundational concepts in finance, including present and future value, interest rate calculations, and an introduction to financial markets. It’s a student-created resource intended to aid in exam preparation.
Why This Document Matters
This study guide is valuable for students enrolled in FIN 3000 who are preparing for their first exam. It consolidates key definitions and formulas covered in the early chapters of the course. It’s most useful when used *in conjunction with* course lectures, the textbook, and other assigned materials. The notes aim to provide a focused review of core concepts before an assessment.
Common Limitations or Challenges
This document is a condensed set of notes and does not replace the need for a comprehensive understanding of the course material. It’s not a substitute for attending lectures, completing assignments, or reading the textbook. The notes represent one student’s interpretation and organization of the material, and may not cover all nuances discussed in class.
What This Document Provides
The notes include: definitions of present value (PV) and future value (FV); explanations of simple and compound interest; the general formula for future value calculation; a breakdown of APR versus EAR; an overview of annuities and perpetuities; and an introduction to primary and secondary financial markets, including concepts like IPOs and the bid-ask spread.
This preview *does not* include practice problems, detailed explanations of complex market mechanisms, or a complete treatment of all topics covered on the exam. It also does not include any calculations or step-by-step instructions.
