You deposit $20,000 in an account that doubles in 7 years. How many years will it take the account to double again if it earns 14 percent per year?
A)4.92 years
B)5.29 years
C)6.62 years
D)8.22 years

Question

Quizplus · Accepted Answer

Using the rule of 72, we can approximate that it will take approximately 72/14= 5.14 years for the account to double with a 14 percent return. Therefore, the closest answer choice is B, which is 5.29 years.

You Deposit $20,000 in an Account That Doubles in 7