This textbook provides an accessible introduction to compound interest and the basic principles of life contingencies, making it ideal for colleges and universities supportive of actuarial education without formal actuarial programs. It is also well-suited for survey courses in actuarial mathematics. The theory is clearly explained, illustrated with worked examples, and reinforced through numerous exercises. While only algebra is required, some familiarity with introductory calculus and probability is helpful.

This edition extends coverage to include key topics such as the real rate of return, investment duration, contingent insurance functions, and pensions and pension mathematics—making the book not only a practical teaching resource but also a valuable long-term reference.