Interest, in finance and economics, is payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate. It is distinct from a fee which the borrower may pay some third party, it is distinct from dividend, paid by a company to its shareholders from its profit or reserve, but not at a particular rate decided beforehand, rather on a pro rata basis as a share in the reward gained by risk taking entrepreneurs when the revenue earned exceeds the total costs. For example, a customer would pay interest to borrow from a bank, so they pay the bank an amount, more than the amount they borrowed. In the case of savings, the customer is the lender, the bank plays the role of the borrower. Interest differs from profit, in that interest is received by a lender, whereas profit is received by the owner of an asset, investment or enterprise; the rate of interest is equal to the interest amount paid or received over a particular period divided by the principal sum borrowed or lent.
Compound interest means. Due to compounding, the total amount of debt grows exponentially, its mathematical study led to the discovery of the number e. In practice, interest is most calculated on a daily, monthly, or yearly basis, its impact is influenced by its compounding rate. According to historian Paul Johnson, the lending of "food money" was commonplace in Middle Eastern civilizations as early as 5000 BC; the argument that acquired seeds and animals could reproduce themselves was used to justify interest, but ancient Jewish religious prohibitions against usury represented a "different view". The first written evidence of compound interest dates 2400 BC; the annual interest rate was 20%. Compound interest was important for urbanization. While the traditional Middle Eastern views on interest was the result of the urbanized, economically developed character of the societies that produced them, the new Jewish prohibition on interest showed a pastoral, tribal influence. In the early 2nd millennium BC, since silver used in exchange for livestock or grain could not multiply of its own, the Laws of Eshnunna instituted a legal interest rate on deposits of dowry.
Early Muslims called this riba, translated today as the charging of interest. The First Council of Nicaea, in 325, forbade clergy from engaging in usury, defined as lending on interest above 1 percent per month. Ninth century ecumenical councils applied this regulation to the laity. Catholic Church opposition to interest hardened in the era of scholastics, when defending it was considered a heresy. St. Thomas Aquinas, the leading theologian of the Catholic Church, argued that the charging of interest is wrong because it amounts to "double charging", charging for both the thing and the use of the thing. In the medieval economy, loans were a consequence of necessity and, under those conditions, it was considered morally reproachable to charge interest, it was considered morally dubious, since no goods were produced through the lending of money, thus it should not be compensated, unlike other activities with direct physical output such as blacksmithing or farming. For the same reason, interest has been looked down upon in Islamic civilization, with all scholars agreeing that the Qur'an explicitly forbids charging interest.
Medieval jurists developed several financial instruments to encourage responsible lending and circumvent prohibitions on usury, such as the Contractum trinius. In the Renaissance era, greater mobility of people facilitated an increase in commerce and the appearance of appropriate conditions for entrepreneurs to start new, lucrative businesses. Given that borrowed money was no longer for consumption but for production as well, interest was no longer viewed in the same manner; the first attempt to control interest rates through manipulation of the money supply was made by the Banque de France in 1847. The latter half of the 20th century saw the rise of interest-free Islamic banking and finance, a movement that applies Islamic law to financial institutions and the economy; some countries, including Iran and Pakistan, have taken steps to eradicate interest from their financial systems. Rather than charging interest, the interest-free lender shares the risk by investing as a partner in profit loss sharing scheme, because predetermined loan repayment as interest is prohibited, as well as making money out of money is unacceptable.
All financial transactions must be asset-backed and it does not charge any interest or fee for the service of lending. It is thought that Jacob Bernoulli discovered the mathematical constant e by studying a question about compound interest, he realized that if an account that starts with $1.00 and pays say 100% interest per year, at the end of the year, the value is $2.00. Compounding quarterly yields $1.00×1.254 = $2.4414... and so on. Bernoulli noticed that if the frequency of compounding is increased without limit, this sequence can be modeled as follows: lim n → ∞ ( 1
World Changed Forever is the sixth studio album by Finnish power metal band Dreamtale. Released on The Secret Door Records label on 26 April 2013 in Finland, it reached number 41 on Suomen virallinen lista, The Official Finnish Charts. "The Shore" – 2:23 "Island of My Heart" – 5:37 "Tides of War" – 4:23 "We Have No God" – 5:09 "The Signs Were True" – 5:09 "The Heart After Dark" – 4:26 "Join the Rain" – 5:02 "Back to the Stars" – 5:53 "World Changed Forever" – 5:59 "My Next Move" – 3:52 "Dreamtime" – 6:34 "Destiny's Chance" - 3:54 "The End of Our Days" - 4:22 Erkki Seppänen - vocals Rami Keränen - Guitar & Backing vocals Seppo Kolehmainen - Guitar Akseli Kaasalainen - keyboards Heikki Ahonen - Bass Petteri Rosenbom - drums
Kasper Idland MM, was a Norwegian resistance member during World War II. Idland took part in the Norwegian heavy water sabotage in 1943. Idland was born in Figgjo, the second child of Karsten og Gudrun Berg Idland, had seven siblings, he graduated as an army sergeant in 1937, after 3½ years at Hærens underoffisersskole at Gimlemoen, Kristiansand. He attended the school for postal officers working at the Post Office in Stavanger; as Norway was invaded by Germany, Idland joined the Norwegian military forces at Sviland on 9 and 10 April 1940, participated in the battles at Dirdal. He was held as a prisoner of war by the Germans at Madla, but was released. In September 1941, Idland travelled by boat from Egersund to Peterhead in Scotland, was soon enrolled into the Norwegian Independent Company 1, he participated in the Commando raid Operation Anklet to Reine and Moskenes in December 1941. Idland was noted for his role in the Norwegian heavy water sabotage in 1943; as a member of the Gunnerside team, he was parachuted onto the Hardangervidda plateau on 16 February 1943.
He was one of the four saboteurs who entered the Vemork facility right after midnight 27/28 February, where the team leader Joachim Rønneberg placed explosives on the heavy water cylinders. After the mission at Vemork he escaped by ski to Sweden, together with four other members of the group. From 1944 to 1945, Idland was active in Egersund, as a member of the resistance group Vestige 4; the primary aim of the Vestige operations was shipping sabotage, but the Vestige 4 group never carried out ship sabotage. As a member of this group, he participated in burning down the AT camp in Bjerkreim in January 1945. From March 1945, Idland was working to establish the base area Varg in the Setesdal area. Idland was leading one of the Varg resistance groups, located at the mountain cabin Langelona; the group received supplies from parachuted containers delivered from allied aircraft. The Langelona group was still small when the war ended in May 1945. Idland lived in Stavanger until 1955, when he moved to the United States and settled in Huntington, New York.
A memorial to Idland was unveiled in his home village of Figgjo in 1995. St. Olav's Medal With Oak Branch War Medal Defence Medal 1940–1945 with Rosette Haakon VII's 70-Medal Military Medal Legion of Honour Croix de guerre 1939–1945 Medal of Freedom