compound interest theme
Interest is calculated on top on interest, in addition to the principal sum. When the compounding is done at relatively short intervals (or continuously) over a relatively long time, the result is an exponential growth of capital which can be ample food for the imagination.
Examples
In rd1988e1x06 "Me2", Holly explained that Lister now owned 98% of Earth's wealth thanks to compound interest accruing on the £17.50 he had in his bank account 3 million years ago.
4 total · 4 minor
| Story | Level | Motivation |
|---|---|---|
| ahp5x19 | minor | Milton told a fellow cruise ship passenger that he'd made $150,000 in interest over 12 years from a principal of $200,000 in no small part owing to the interest compounding over time. |
| futurama1x06 | minor | Fry was a billionaire thanks to compound interest on the 93 cents he had in his bank account 1,000 years ago. |
| movie: Idiocracy (2006) | minor | Joe struggled to make clear to the hopelessly moronic Frito how a bank account opened 500 years ago would presently be worth billions of dollars because of accumulated interest. |
| rd1988e1x06 | minor | Holly explained that Lister owned 98% of Earth's wealth thanks to compound interest on the £17.50 he had in his bank account 3 million years ago. |