Question

Thurman put $90 into an account that pays 4.4% interest, compounded quarterly. According to the rule of 72, approximately how long will it take for his money to double?

Answer 1

Answer:

Number of Years to Double= 15.65

Step-by-step explanation:

Giving the following information:

Interest rate= 0.044/4= 0.011

Annual compound interet rate= (1.011^4) - 1= 0.4473

The rule of 72 is a means of estimating the number of years it takes for an investment or your money to double.

Number of Years to Double= 70/Annual Rate of Return

Number of Years to Double= 70/4.473

Number of Years to Double= 15.65

Answer 2

Answer: 16.4

Step-by-step explanation: A p a x