"The Theory of Interest"

"The Theory of Interest" explains how money grows over time through interest, which is the earned return on invested or loaned funds. It considers factors like the rate of interest, the timing of payments, and how often interest is compounded. Essentially, it provides a mathematical and conceptual framework for understanding how investments and loans accumulate value, helping determine how much money will be worth in the future. This theory underpins financial decision-making, allowing individuals and institutions to compare different investment options, plan savings, and understand the true cost of borrowing.