Finite Math
Finite math gathers the topics a typical applied-math course uses to model finance, decision-making and discrete systems: interest formulas, annuities, loans, Markov chains, linear programming and the propositional logic that underpins each argument. Every solver here shows the formula it uses and the numeric workings.
Two ideas tie almost every tool on this page together. First, money compounds: each formula here — simple interest, compound interest, annuities, loans — comes from applying the rate again and again to a balance. Second, large discrete systems often boil down to vectors and matrices: the Markov calculator multiplies distributions by a transition matrix, the linear-program solver intersects half-planes to find a corner point, and the truth table enumerates every assignment over a finite set of variables.
Interest, annuities and loans
Simple interest I = Prt is the entry point; compound interest A = P(1 + r/n)^(nt) reinvests interest as it accrues, with continuous compounding A = Pe^(rt) as its limit. Annuities and loans both apply the same logic to a stream of equal payments.
Markov chains
A row-stochastic transition matrix P moves a distribution forward one step at a time: pₖ₊₁ = pₖ P. The steady-state vector π solves πP = π and is the long-run distribution for an irreducible, aperiodic chain.
Linear programming
A linear objective on a polygon must be optimised at a vertex. The two-variable solver enumerates the pairwise intersections of the boundary lines, keeps the feasible ones, and picks the best — the graphical method made explicit.
Logic and truth tables
Propositional formulas in p, q, r, s reduce to a row in a truth table for each assignment of true/false. Tautologies, contradictions and contingencies come straight out of the columns.
All solvers
Frequently asked questions
Is this what a finite-math course covers?
Yes — most US finite-math courses for business or social-science majors include exactly these topics: interest, annuities, loans, Markov chains, linear programming and an introduction to formal logic.
Does the LP solver handle three or more variables?
Not graphically — the graphical method only works in two dimensions. For higher-dimensional LPs the standard tool is the simplex algorithm, not yet covered here.
Can I use these for finance homework?
Yes. The interest, annuity and loan tools use the textbook formulas, show the formula symbolically and then plug in the numbers, so you can compare against worked examples.