Using the Rule of 72, how long will it take something growing at 4% per year to double
A)100 years.
B)72 years.
C)18 years.
D)288 years.

Question

Quizplus · Accepted Answer

The Rule of 72 states that you can estimate how long it will take for an investment to double by dividing 72 by the annual growth rate. In this case, 72 divided by 4 is 18. Therefore, it will take approximately 18 years for the investment to double. So, the correct option is C.

Using the Rule of 72, How Long Will It Take