Financial Mathematics with Python Paperback – February 2, 2021

There is no Python in the book! There is a zip file in GitHub for downloading with Python programs that I did not test.Reading the book "Financial Mathematics with Python", I observed the example about simple interest in page 16:In the example, principal is $8,440, annual interest rate is 6% and term is 7 years. In this case, Interest of the operation is $8,440 * 6% * 7 = $3,544.80. In the next paragraph, the author wrote:"In a variation of the above example, Mr. Smith pays the principal back to the car dealer at the end of 7 years but must make monthly interest payments in the amount of $42". (The correct value should be $42.20!) I believe there is something wrong in these monthly interest payments! In simple interest, interest cannot be paid periodically. It can only be paid at the end of the operation, together with the principal of the operation.If simple interest is to be paid periodically it becomes compound interest! Only compound interest can be paid periodically or added to the principal of the previous period to earn interest in the next period. If interest is paid periodically, they form an annuity whose future value is: FV = $42.20 * ((1 + 0.005) ^ 84 - 1) / 0.05 =$ 4.391.92This same future value can be obtained whether interests are not paid periodically as follows: FV = $8,440.00 * ((1 + 0,005) ^ 84 - 1) = $4,391.92That's it!