15 July Business Mathematics

Business Mathematics AFTERSCHOOOL – DEVELOPING CHANGE MAKERS CENTRE FOR SOCIAL ENTREPRENEURSHIP PGPSE PROGRAMME – World’ Most Comprehensive programme in social entrepreneurship / spiritual entrepreneurship OPEN FOR ALL FREE FOR ALL

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Business Mathematics Dr. T.K. Jain. AFTERSCHOOOL Centre for social entrepreneurship Bikaner M: 9414430763 [email protected] www.afterschool.tk www.afterschoool.tk www.afterschoool.tk

AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

I borrow Rs. 100000 for 20 years. I agree to pay interest @ 12% on outstanding balance. Find out my EMI.  EMI

= Equal Monthly Instalment  Annuity / EMI factor = [(1+i)^n -1] /(i(1+i)^n)  EMI = loan to be paid / Annuity or EMI factor  =[(1.01)^240 -1] / (.01(1.01)^240)  =90.81  EMI = 100000/90.81 = 1101 APPROX. www.afterschoool.tk AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

I BORROW RS. 100000 FOR 20 YEARS. I HAVE TO PAY INTEREST @10% ON OUTSTANDING BALANCE. CALCULATE MY EQUAL ANNUAL INSTALMENTS?  Annuity

factor = [(1+i)^n -1]/(i(1+i)^n)  =((1.1)^20 – 1) /((.1(1.1)^20)  =8.5351  =100000/8.5135 = 11746 APPROX.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

I BORROW RS. 100000 FOR 20 YEARS. I HAVE TO PAY INTEREST @16% ON OUTSTANDING BALANCE. CALCULATE MY INSTALMENTS, IF I HAVE TO PAY EVERY SIX MONTHS?  Annuity

factor = [(1+i)^n -1]/(i(1+i)^n)  =((1.08)^40 - 1) /(.08(1.08)^40)  =11.92  =100000/11.92 = 8386 APPROX.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

How much amount should I accumulate every year so that I have Rs. 500000 at the end of 5 years? R = 20%  Future

value of annuity factor = ((1+i)^n

-1)/ I  =((1.2)^5 -1)/ .2  = 7.44  Now divide 500000 by 7.44  500000/7.44  =67204 approx. answer. www.afterschoool.tk

AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Rishabh wants to buy a Bentley car in 2018. Estimated price at that time will be Rs. 2 crore. How much amount should Rishabh save every month so that he has that money? R = 12% I

= 12/12 = 1% or .01 N = 10*12 =120  =((1.01)^120 -1)/ .01  =230  Dividing 2 crores by 230, we get:  86942 approx. www.afterschoool.tk

AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

I am a lessor. Gautam comes to me to take a car on lease for 5 years. The cost of car is 7 lakh and Gautam agrees to give me annual instalment of Rs. 200000. Interest rate is 15%. Should I lease the car?     

Annuity factor = [(1+i)^n -1]/(i(1+i)^n) PV of Annuity factor = ((1.15)^51)/(.15*(1.15)^5) =3.352 =200000*3.352 =670400 Thus I will loose Rs. 29600 on this transaction, so I should not lease the car. www.afterschoool.tk

AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

I can buy Machine A or B. A costs Rs. 1 Crore but B costs Rs. 2 Crores. A machine saves Rs. 30 Lakh per annum for next 14 years, B saves Rs. 50 lakh per annum for next 20 years. R = 20% per annum. Which machine should I buy?     

PV of annuity = ((1.2)^14-1)/(.2(1.2)^14) =4.610 multiply it to 30 lakh, we get 1.38 crores PV of annuity B = ((1.2)^20-1)/(.2(1.2)^20) = 4.87 Thus from B we will get 2.43 crores. Thus profit is more in B, but % returns are better in project A. www.afterschoool.tk

AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

ABO UT A FTERSCH OOO L Afterschoool conducts three year integrated PGPSE (after class 12th along with IAS / CA / CS) and 18 month PGPSE (Post Graduate Programme in Social Entrepreneurship) along with preparation for CS / CFP / CFA /CMA / FRM. This course is also available online also. It also conducts workshops on social entrepreneurship in schools and colleges all over India – start social entrepreneurship club in your institution today with the help from afterschoool and help us in developing society.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Why such a programme? 

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To promote people to take up entrepreneurship and help develop the society To enable people to take up franchising and other such options to start a business / social development project To enable people to take up social development as their mission To enable people to promote spirituality and positive thinking in the world

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Who are our supporters?  Afterschoolians,

our past beneficiaries, entrepreneurs and social entrepreneurs are supporting us.  You can also support us – not necessarily by money – but by being promotor of our concept and our ideas.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

About AFTERSCHOOOL PGPSE – the best programme for developing great entrepreneurs     

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Most flexible, adaptive but rigorous programme Available in distance learning mode Case study focused- latest cases Industry oriented practical curriculum Designed to make you entrepreneurs – not just an employee Option to take up part time job – so earn while you learn The only absolutely free course on internet

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Workshops from AFTERSCHOOOL         

IIF, Delhi CIPS, Jaipur ICSI Hyderabad Branch Gyan Vihar, Jaipur Apex Institute of Management, Jaipur Aravali Institute of Management, Jodhpur Xavier Institute of Management, Bhubaneshwar Pacific Institute, Udaipur Engineering College, Hyderabad

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Flexible Specialisations:          

Spiritualising business and society Rural development and transformation HRD and Education, Social Development NGO and voluntary work Investment analysis,microfinance and inclusion Retail sector, BPO, KPO Accounting & Information system (with CA / CS /CMA) Hospital management and Health care Hospitality sector and culture and heritage Other sectors of high growth, high technology and social relevance

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Salient features: The only programme of its kind (in the whole world)  No publicity and low profile course  For those who want to achieve success in life – not just a degree  Indepth knowledge and expertise  Professional approac: World class approach  Strong intellectual and business capabilities  Flexible – you may stay for a month and continue the rest of the education by distance mode. / you may attend weekend classes  Scholarships for those from poor economic background  Latest and constantly changing curriculum – keeping pace with the time  Placement for those who are interested  Admissions open throughout the year  Latest and most advanced technologies, books and study www.afterschoool.tk AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS material 

Components              

Pedagogy curriculum and approach based on IIM Ahmedabad and ISB Hyderabad (the founder is alumnus from IIMA & ISB Hyderabad) Meditation, spiritualisation, and self development Essential softwares for business Business plan, Research projects Participation in conferences / seminars Workshops on leadership, team building etc. Written submissions of research projects/articles / papers Interview of entrepreneurs, writing biographies of entrepreneurs Editing of journals / newsletters Consultancy / research projects Assignments, communication skill workshops Participation in conferences and seminars Group discussions, mock interviews, self development diaryng Mind Power Training & writing workshop (by Dr. T.K.Jain)

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Pedagogy          

Case analysis, Articles from Harvard Business Review Quiz, seminars, workshops, games, Visits to entrepreneurs and industrial visits Presentations, Latest audio-visuals Group discussions and group projects Periodic self assessment Mentoring and counselling Study exchange programme (with institutions out of India) Rural development / Social welfare projects

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Branches  AFTERSCHOOOL

will shortly open its branches in important cities in India including Delhi, Kota, Mumbai, Gurgaon and other important cities. Afterschooolians will be responsible for managing and developing these branches – and for promoting social entrepreneurs.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Case Studies  We

want to write case studies on social entrepreneurs, first generation entrepreneurs, ethical entrepreneurs. Please help us in this process. Help us to be in touch with entrepreneurs, so that we may develop entrepreneurs.

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

Basic values at afterschoool        

Share to learn more Interact to develop yourself Fear is your worst enemy Make mistakes to learn Study & discuss in a group Criticism is the healthy route to mutual support and help Ask fundamental questions : why, when, how & where? Embrace change – and compete with yourself only

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS

www.afterschoool.tk social entrepreneurship for better society

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AFTERSCHOOOL MATERIAL FOR PGPSE PARTICIPANTS