Interest -- Interest - Problems, Exercises, etc.

Glossary of notation p.431 - 438 ; Indeks : p.439 - 446 ; Interest may be defined as the compensation that a borrower of capital pays to a lender of capital for its use. Thus, interest can be viewed as a form of rent that the borrower pays to the lender to compensate for the loss of use of the capital by the lender while it is loaned to the borrower. This book contains several other extentions to the material in the first edition. A sounder theoretical foundation for compound interest and simple interest is presented at the beginning of it. A section has been added exploring the pitfalls of attempting to value annuities at simple interest. The approach used to value annuities payable at a different frequency than interest is convertible has been modified. It is designed to be appropriate for both classroom use with an instructor and for self-study by those learning the subject without the aid of an instructor. The amount of material probably exceeds that which can be covered thoroughly in a one-semeter unversity course.