Errata Sheet
Zima: Mathematics of Finance
Fifth Edition – First Printing
The first printing is identified by “1” appearing as the first number in the line below
the ISBN number on page iv (back of the title page)
Page 9
Date on time diagram should be Nov 3 (not Nov 1)
Page 28
Example 3, Solution b: Remove the extra bracket before .0425/365
Page 114 Solution b, line 2
Should be 130 000 (not 60 000)
Page 114 Solution c, line 2
Should be R = 1300 (not 1200)
Page 150 line 8
The numerator of R2 should be 3503.36 (not 3503.62)
Page 199 within the graph should Fr = 50 (not Fr = 50)
Page 191 Example 4 line 8
R = .045 (not .45)
Page 195 line 4, solution b
…. The price of the bonds (not at the bonds)
Page 203 line 3:
URL should be www.rbcds.com/english/online/corporate/bondIndex.html
Page 207 in the diagram of Example 5
The first arrow together with q = 104.25 should be move to Oct 10, 1998.
Page 209 line 10:
Purchase price =
40a20|.035 (not a20|.35 )
Page 219 Review Exercise 2, line 5:
$3,000,000 on March 15, 2011 (not 2010)
Page 219 Review Exercise 4, line 2:
…. Matures on July 1, 2005 (not 2015)
Page 334 Answer to Exercise 2.1, Part A, #13 should be: $35.236 billion; $163 000.
Page 336 Answer to Exercise 2.8 Part B
Delete the answer to 1 and re-number 2,3,4 as 1,2,3.
Page 337 Answer to Review Exercises 2.11 #21
C should be $1 349.86 (not $1 338.23)
Page 341 Answer to Exercise 5.1 #18b) is $97 256.92 (not $61 560.62)
Page 342 Answer to Exercise 5.6, 4b)
Should be $1 070 154.78 (not $ 1 070 175.88)
Page 343 Answer to Exercise 5.8 #22b) Do not refinance.
Page 345, Exercise 7.2 B1:
At 15%: NPV(A) should be +$985.63
NPV(B) should be +$1 609.89
At 25%: NPV(A) should be -$757.12
NPV(B) should be -$1 217.92
(not +$10 985.63)
(not +$11 609.89)
(not +$9 242.88)
(not +$8 782.08)
Errata Sheet
Zima: Mathematics of Finance
Fifth Edition – Third Printing
The first printing is identified by “3” appearing as the first number in the line below
the ISBN number on page iv (back of the title page)
Page 23 Review Exercise 1.6 #8, the simple interest rate of 8% (not 6%).
Page 309 #7 a) add “ = 21”
Page 337 Answer to Review Exercise 2.11 #21 a) should be $1338.23 (not $1349.87);
c) should be $1349.87 (not $1349.86)
Page 339 Answer to Exercise 4.2A 11a) last part should be $1111.22 (not $1111.21)
Page 342 Answer to Exercise 5.6B 7a) should be $1836.42 (not $846.42)
Page 346 Answer to Exercise 7.3 B1 …. saves $4571.38 (not $4571.34) in capitalized
costs.
Page 346 Answer to Review Exercises 7.5 #13 should be $567.94 (not $567.97)