Probability spaces, combinatorial probability methods, discrete and continuous random variables and distributions, moment generating functions, development and applications of the classical discrete and continuous distributions.

Joint probability distributions and correlation; law of large numbers and the central limit theorem; sampling distributions and theory of estimation.

Principles of hypothesis testing; most powerful tests and likelihood ratio tests; linear regression; one-way analysis of variance; categorical data analysis, nonparametric statistics.

The Theory of Interest: Theory and applications of compound interest to annuities, amortization schedules, sinking funds, bonds, and yield rates. Cross-listed with MAT 461. COREQUISITE: MAT 351.

Basic Contingencies: The theory and applications of contingency mathematics in life and health insurance, annuities, and pensions from both a probabilistic and a deterministic viewpoint. Topics include survival distribution and life tables, life insurance, and life annuities. Cross-listed with MAT 462.

Advanced Contingencies: A continuation of Mathematics 362. Topics include net premiums, net premiums reserves, multiple life functions, multiple decrement models, and valuation theory for pension plans. Cross-listed with MAT 463.

The SAS programming language. Data exploration, description and presentation. Inference based on continuous and categorical data. Analysis of variance models and regression procedures including logistic regression. Cross-listed with MAT 448.

Simple linear, multiple, polynomial and general regression models. Selection of best regression equation and examination of residuals for homoscedasticity and other diagnostic. Use of statistical software. Cross-listed with MAT 456.

Development of the Box-Jenkins methodology for the identification, estimation, and fitting of ARIMA, and transfer-function stochastic models for the purpose of analyzing and forecasting stationary, non-stationary, and seasonal time series data. The course emphasizes practical time-series data analysis using computer packages and includes applications to economic, business, and industrial forecasting. Cross-listed with MAT 512.

Discrete Markov chains and random walks, birth and death processes, Poisson processes, queuing systems, and renewal processes. Cross-listed with MAT 455.

Distributional quantities, distribution properties and classification, frequency and severity models, aggregate loss and ruin models. Cross-listed with MAT 464.

Credibility theory and loss distributions with applications to casualty insurance classification and rate making. Cross-Listed As MAT 467.

Financial derivatives, risk management, investment strategies, arbitrage, valuation, Put-call parity, the binomial model, option pricing, lognormal models for asset prices, Black-Scholes formula, value at risk and conditional tail expectation, Brownian motion and Ito's lemma, interest rate models. Cross-listed with MAT 468.

Techniques of computer simulation of the classical univariate and multivariate probability distribution models, and such random processes as random walk, Markov chains, and queues. Cross-listed with MAT 459.

Introduction to Accounting I, provides an introduction to financial accounting as the means of recording, storing and summarizing economic events of the business enterprise to meet external reporting needs. Emphasis is placed on the preparation and analysis of financial statements and other financial reports to the public based on the accounting equation, accrual accounting concepts, and data gathering techniques. Topics include corporate accounting for current and long term assets and current liabilities, and the corporate income statement.

Principles of Microeconomics. Basic theories of micro (or individual) economic units; the theory of consumer demand, the firm, and distribution; pricing and production in competitive, monopolistic and oligopolistic industries.

Principles of Macroeconomics. Fundamental theories of macro (or aggregate) economics: supply and demand, national income accounting and analysis, and international trade. Analysis of unemployment, and inflation, and policies designed to combat these and other current problems.

This course introduces students to the logic, principles, institutions, and terminology of finance. The goal of the course is to provide students with a basic understanding of the role of finance and its functions. It is designed to familiarize the students with tools necessary for making sound financial decisions, both at a personal level and at an enterprise level.

The goal of the course is to provide students with the basic tools and theoretical background necessary to understand the corporate financial decision making process. Emphasis is on valuation principles with application to bonds, stocks, and capital budgeting as well as issues involving the capital structure, working capital, and dividend policy.

Study of money and banking as a means to understanding how operations of our financial institutions affect functioning of our economic system and evaluation of monetary policies and goals.

Investment principles and problems. Development of the student's perception of risks and opportunities in investment instruments and markets; description of the markets and their operations; effects of current financial events upon the various markets.

Theories and techniques to achieve superior selection and management of securities portfolios. Review and evaluation of significant literature. Problems of timing and strategies in response to changing economic and financial conditions.

Theories and techniques of risk management that employ statistical techniques which enhance risk decision-making. This course develops a framework of analysis that can be applied by corporate or investment risk managers.

This is an advanced course that focuses on the pricing models for the four derivative instruments: forwards, futures, options and swaps. The first part of the course is devoted to the two general classes of derivative pricing models: discrete time and continuous time, with each model's properties discussed in detail. These models are then applied to a range of realistic pricing situations which include swaps, exotic options and fixed income derivatives. The course concludes with a detailed examination of value at risk.