Svota koja se dobija na pozajmljeni novac, interes, dobit (grč.)
Charge made for carrying an account or for merchandise sold on an installment plan.
1. Expense incident to ownership or use of property
2. A charge added to the price of merchandise sold on the installment plan
In finance, a sum of money paid by a borrower to a lender in return for the loan, usually expressed as a percentage per annum. Simple interest is interest calculated as a straight percentage of the amount loaned or invested. In compound interest, the interest earned over a period of time (for example, per annum) is added to the investment, so that at the end of the next period interest is paid on that total.
A sum of $100 invested at 10% per annum simple interest for five years earns $10 a year, giving a total of $50 interest (and at the end of the period the investor receives a total of $150). The same sum of $100 invested for five years at 10% compound interest earns a total of $61.05 interest (with $161.05 returned at the end of the period). The difference arises from adding the previous period's interest to the capital before calculating the next payment.