Rule of 72 Approximately what interest rate is needed to double an investment over 4 years?
A) 4%
B) 18%
C) 25%
D) 100%

Name: Rule of 72 Approximately what interest rate is needed to double an investment over 4 years? A) 4% B) 18% C) 25% D) 100%
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Question

Quizplus · Accepted Answer

According to the rule of 72, dividing the number 72 by the number of years it takes for an investment to double gives an approximate interest rate needed. In this case, dividing 72 by 4 equals 18%. Therefore, Choice B is the correct answer.

Rule of 72 Approximately What Interest Rate Is Needed to Double