per annum financial definition
Annum is the Latin word for year. Per annum means: By the year; annually; yearly. This term is mostly used in banking in reference to a sum of money paid or received.For example, $100 at5% interest per annum is $100 (1 + .05) = $105.nswer added by: Rehan Qureshi Chief Financial Officer (CFO) 1 year ago. Per annum means yearly or annually. For example, if a business charges its customers1.5% per month on any unpaid balance, the per annum rate is18%. The per annum rate was the result of1.5% X12 months in a year.