Annum - GCSE Maths Definition

The term 'Annum' is a Latin word meaning 'year', and in the context of GCSE Maths, it is often used when discussing financial concepts. For example, when calculating interest, 'per annum' refers to the amount of interest charged or earned over the period of one year. This term is crucial for understanding problems related to simple and compound interest, where students need to determine the total interest accumulated annually. Understanding 'per annum' helps in calculating and comparing rates effectively over time, ensuring clear comprehension when solving real-world financial mathematics problems.