Turning the tables
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<subfield code="a">Compound interest, one of the foundation stones of actuarial science, has a long history. One writer has suggested it may have originated from people lending a herd to a neighbour for several years and finding it had become more numerous when returned. Compounding for loans lasting more than a year was known in ancient Rome; Cicero wrote to a friend in 50BCE, I had succeeded in arranging that they should pay with interest for six years at the rate of 12%, and added yearly to the capital sum. In medieval times, much borrowing was for months rather than years, so compounding usually did not arise.</subfield>
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<subfield code="t">The Actuary : the magazine of the Institute & Faculty of Actuaries</subfield>
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