Question

You want to invest an amount of money today and receive back twice that amount in the future. You expect to earn 6 percent interest. Approximately how long must you wait for your investment to double in value?

Answer 1

Answer:

11.89 years

Explanation:

We use the NPER formula to find out the number of years to double the value that is presented on the attachment below:

Given that,  

Present value = $100

Future value = $200

Rate of interest = 6%

PMT = $0

The formula is shown below:

= NPER(Rate;PMT;-PV;FV;type)

The present value come in negative

So, after solving this, the number of years is 11.89 years