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Answer Key Rule of 72 Worksheet Answers Form

Answer Key Rule of 72 Worksheet Answers Form

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have you ever wondered what annual rate of return you need to double your money in a given amount of time the rule of 72 can help the rule of 72 is normally used to determine the doubling time of an investment which is approximately 72 divided by the rate of return but we can also write the rule of 72 in the form of the rate of return is approximately 72 divided by the doubling time as an example if you want to double an investment in 12 years what annual rate of return would you need what about eight years if you want to double your investment in 12 years the annual rate of return would need to be 72 divided by 12 or approximately 6 percent if you want to double your investment in eight years the annual rate of return would need to be 72 divided by 8 giving approximately nine percent rate of return I hope you found this helpful

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Find out other the rule of 72 states that dividing 72 by the interest rate approximates the time for the investment to double this calculates the of the investment

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