Texas A&M University
Math 419 – Syllabus
Spring 2016
Math 419 – Applications of Actuarial Science
Catalog Description: Applications of actuarial science using mathematical and statistical methods to assess
risk in the insurance and finance industries; emphasis on probability, statistics, finance, and economics; focus on
using probabilistic models in the estimation of insurance premiums. May be taken 2 times for credit. Prerequisite:
MATH 411 or STAT 414.
Course Objectives: The goal of this course is to prepare students for Society of Actuaries Exam 1/P. Upon
completion of this course, students will have gained a deeper understanding and practice in applications of
probability, conditional probability and Bayes' Theorem, common discrete and continuous random variable, joint
distributions, expectation, moment generating functions, and transformations and limits.
Instructor Information
Name
Rashi Arora
Office
BLOCKER 208
E-mail*
rashiarora15@tamu.edu
Office hours
T 1:00 – 2:30 PM, Bloc 208, and by appointment
Webpage* *
www.math.tamu.edu/~rashi.arora
*Please check your email regularly. You are responsible for any information sent via email. When you send an
email, please include your Full Name, and Course Number (Math 419) in the message.
**Please check my webpage regularly. All the announcements and necessary documents would be
posted here.
Class, Textbook and Homework
Class (Time & Place)
MWF 10:20 – 11:10 AM, Bloc 113
Webassign (Online Homework)
https://www.webassign.net/tamu/login.html
Ross, Sheldon. A First Course in Probability
Carr and Gauger. BPP SOA Exam P/CAS Exam 1 Course Notes:
Probability – An Introductory Guide for Actuaries and other Business
Professionals, 4th edition, BPP Professional Education. (This study
manual can be purchased for $64 online at www.actuarialbookstore.com.)
Recommended Texts/resources
https://www.coachingactuaries.com/
(for practice exams)
Required Calculator
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TI-30XS Multiview (no exceptions).
Texas A&M University
Math 419 – Syllabus
Spring 2016
Grading Scheme
Online Assignments
35% (Will drop two lowest)
In-class Quizzes
15%
Class Participation/Attendance
8%
Exam 1(12th Feb)
14%
Exam 2(4th Mar)
14%
Exam 3(11th Apr)
14%
Letter Grade
A ³ 90% ; 80 £ B < 90% ; 70 £ C < 80% ; 60 £ D < 70% ; F < 60%
Online Assignments: a) Homework assignments: All students will be required to purchase access to
WebAssign for completion of online homework assignments. Students will have three attempts for each
question. b) Practice Exams : Students will complete four practice exams in WebAssign. Each will consist of 10
questions from previous actuarial exams, and there will be a 60-minute time limit. Only one attempt per question
is allowed.
Two lowest online assignment grades (includes homework assignments and practice exams) will be dropped.
In-class Exams: You will have THREE in-class exams. Every exam will be cumulative and will consist of
multiple-choice questions only. There is NO FINAL for this class.
Quizzes: Quizzes will be given in-class as per the tentative schedule on the calendar. Quizzes may be given at
any time during class, so make sure you arrive on time to each class and do not leave class early. Each quiz will
predominantly be based on the topic listed in the calendar. However, they will be cumulative in the sense that
you will be required and expected to have knowledge of the previous material required to solve problems of the
current material.
Class Participation and Attendance: Class participation and attendance will count as 8% of the overall course
average. Attendance is mandatory, and the roll will be taken at each class period. Although missing class is
highly discouraged, each student will be allowed one unexcused absence. Each additional unexcused absence
will result in a significant deduction in the class participation grade. Please see the detailed chart for
Deductions-due-to-unexcused-absences. To receive full points for class participation, students are expected to
attend the entire class each day, take notes, practice using their calculators as the instructor goes through
practice problems, and contribute to class discussion.
Deductions-due-to-unexcued-absences
# of the Absence
Total grade deduction so far (out of 8%)
1
0%
2
1%
3
3%
4
6%
5 or more
8%
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Texas A&M University
Math 419 – Syllabus
Spring 2016
NOTE : You are allowed one unexcused absence. However, if the absence is on the day of an Exam, make up
policy will hold.
Make-up policy: Make-ups for exams will be given only if the student can provide a documented
University-approved excuse (http://student-rules.tamu.edu/). According to Section 7.3 of the University Student
Rules, for an absence to be considered excused, “the student must notify his or her instructor in writing
(acknowledged e-mail is acceptable) prior to the date of absence if such a notification is feasible . In
cases where advance notification is not feasible (e.g accident or emergency), the student must provide
notification by the end of the second working day after the absence. The notification should include an
explanation of why notice could not be sent prior to the class.”In addition (and also in accordance with University
Student Rules), a written excuse must be presented upon return to class. Specifically, in case of illness too
severe or contagious to attend class or in case of injury, students are required to obtain a confirmation
note from a healthcare professional affirming date and time of medical office visit regarding the illness
or injury and confirming the need of absence (with permission to verify) before a make-up will be given.
The Texas A&M Explanatory Statement of Absence will NOT be accepted. An absence for a non-acute medical
service does not constitute as an excused absence. Students with an official University excused absence are
permitted to make up work only for the dates of absence. Moreover, (and again in accordance with University
Student Rules ), if an instructor has a regularly scheduled make-up exam, students are expected to attend
unless they have a University approved excuse.
It is the student's responsibility to contact me within the proper time period, in order to schedule
make-up assignments.
If the class is officially canceled for any reason, you can expect that the assignments due/taken on the missed
class day will be due/taken the next time class meets.
Academic Dishonesty:
“An Aggie does not lie, cheat, or steal, or tolerate those who do.”
Upon accepting admission to Texas A&M University, a student immediately assumes a commitment to uphold the
Honor Code, to accept responsibility for learning, and to follow the philosophy and rules of the Honor System.
Students will be required to state their commitment on examinations, research papers, and other academic work.
Ignorance of the rules does not exclude any member of the TAMU community from the requirements or the
processes of the Honor System. For additional information on the Honor Council Rules and Procedures, consult
http://aggiehonor.tamu.edu.
Copyright policy: All printed materials disseminated in class or on the web are protected by copyright laws.
One copy (photocopy or download from the web) is allowed for personal use. Multiple copies or sale of any of
these materials is strictly prohibited.
Americans with Disabilities Act (ADA):The Americans with Disabilities Act (ADA) is a federal
anti-discrimination statute that provides comprehensive civil rights protection for persons with disabilities. Among
other things, this legislation requires that all students with disabilities be guaranteed a learning environment that
provides for reasonable accommodation of their disabilities. If you believe you have a disability requiring an
accommodation, please contact Disability Services, currently located in the Disability Services building at the
Student Services at White Creek complex on west campus, or call 979-845-1637. For additional information visit
http://disability.tamu.edu.
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Texas A&M University
Math 419 – Syllabus
Tentative Schedule:
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Week 1: Probability
Week 2:Conditional Probability, Random Variables
Week 3: Common Discrete Random Variables, Continuous Random Variables
Week 4: Continuous Random Variables, Review, Exam I
Week 5: Common Continuous Random Variables, Normal Distribution and Approximations
Week 6 :Normal Distribution and Approximations, Joint Distribution
Week 7: Review, Exam II(cumulative)
Week 8: Expectation
Week 9: SPRING BREAK
Week 10 : Moment Generating Functions
Week 11: Transformation and Limits, Order Statistics
Week 12: Order Statistics
Week 13: Review
Week 14: Exam III(cumulative)
LAST DAY OF CLASS : April 13, 2016
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Spring 2016