1. At 5 percent interest, how long does it take to double your money?
2. At 5 percent interest, how long does it take to quadruple your money?
Rule of 72:
The rule of 72 is a rule of thumb that could be used to approximate the length of time until the value of an investment is doubled. The answer is calculated by dividing 72 by the periodic return of the investment in percentage terms (i.e., divided by 3 if return is 3%).
Answer and Explanation:
It would take 14.4 years to double your money.
Applying the rule of 72, the number of years to double your money is 72 divided by the...
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from Financial Accounting: Help and ReviewChapter 5 / Lesson 16