Millions of people buy and sell homes each year. And because these transactions are often complex, many home buyers and sellers turn to workers who can help with the search or the sale--or both. From preparing to put a home on the market to filing the sales documents, many workers are involved in helping a home change hands. Other key industries…

Students earning a degree in mathematics often seek information on how to apply their mathematical knowledge. One option is to follow a curriculum with an actuarial emphasis designed to prepare students as an applied mathematician in the actuarial field. By developing only two new courses and utilizing existing courses for Validation by…

Being money smart has value that offers individuals skills for a lifetime. "Lawmakers had no way of knowing in 2007 that the U. S. economic situation would be where it is today, making financial education for students now even more crucial than at any other time in recent history" (Black, 2009, p. 1). According to Beverly & Burkhalter (2005, p.…

This article discusses the principles-based approach that emphasizes a "why" question by using the International Accounting Standards Board (IASB) "Conceptual Framework for Financial Reporting" to question and understand the basis for specific differences between IFRS and U.S. generally accepted accounting principles (U.S.…

In this age of educational accountability, there is an increasing emphasis on assessment and institutional effectiveness, not only in the academic arena but also in other aspects of community college operation, such as fiscal health and stability, revenue generation, resource allocation, facilities, workforce development, and community enrichment…

In a world of fluctuating asset prices, many firms find the need to hedge in order to avoid or reduce losses. From a gold miner selling gold derivatives to airlines buying oil futures to protect against rising fuel costs, hedging is common practice across many different industries. In this paper, we provide students with a simplified example of a…

For college fund raisers, one bright spot in the economic doldrums is that it is easier to talk with potential donors about their deaths. As donors worry about outliving their assets, fund raisers find success--and often bigger donations--in asking them for bequests. Many college fund raisers have raised the subject of bequests more actively with…

Over the past five years, the number of complaints filed against agencies collecting on behalf of the U.S. Department of Education has grown by 45 percent. The Federal Trade Commission, which oversees the entire industry, received 142,743 complaints involving debt-collection companies last year, though only some involved student loans. Consumer…

Active learning is a teaching approach that requires students to do something intellectually with course content. This involves examining, questioning, and relating knowledge gained from previous experiences to new knowledge and skills. Native American students have been found to have low financial literacy skills. Family and consumer sciences…

Academic advisors likely will encounter financially at-risk (FAR) students who jeopardize their chances of completing a college education and compromise their economic futures by accruing burdensome debt. Students may use loans and credit cards to pay for the necessities of a college education, but many also generate personal debt by financing…

The principle purpose of this article serves a number of purposes. Among them, it provides instructors with a tested financial statement report project. It also helps students to develop higher-level learning skills. In addition, the project provides an opportunity for students to apply their basic accounting knowledge to the analysis and use of…

Equity Indexed Annuities (EIAs) are controversial financial products because the payoffs to investors are based on formulas that are supposedly too complex for average investors to understand. This brief describes how Monte Carlo simulation can provide insight into the true risk and return of an EIA. This approach can be used as a project…

As the United States' economy continues to experience challenges, more families at or near the poverty level fall prey to predatory financial practices. Their vulnerability to these operations is increased by a lack of knowledge of asset-building resources and alternative financial services. This article focuses on Volunteer Income Tax Assistance…

This note points out that realized compound yield (RCY) has a similar concept from capital budgeting; namely, modified internal rate of return. Recognizing this relationship makes it easier to teach the concept and allows students to easily compute RCY using a financial calculator.

This paper provides suggestions for preparing students to take the actuarial examination on financial mathematics, SOA/CAS Exam FM/2. It is based on current practices employed at Slippery Rock University, a small public liberal arts university. Detailed descriptions of our Theory of Interest course and subsequent Exam FM/2 prep course are provided…