To determine how long it would take an investment to double at 10 percent, you could scan down the 10% column until you reach a factor of approximately 2.0 on the ________ table.
A) Present value of $1
B) Future value of $1
C) Present value of an annuity
D) Future value of an annuity

Question

Quizplus · Accepted Answer

The Future Value of $1 table is used to determine how much a single dollar invested today will be worth in the future at a specific interest rate over a certain period of time. To find out how long it takes for an investment to double at a 10% interest rate, you would look for the period where the future value factor approximately equals 2.0 in the 10% column of this table.

To Determine How Long It Would Take an Investment to Double