Rule of 72 Approximately what interest rate is needed to double an investment over eight years?
A)8 percent
B)9 percent
C)12 percent
D)100 percent

Question

Quizplus · Accepted Answer

The Rule of 72 is a simple way to estimate the number of years required to double the investment at a given annual rate of return. By dividing 72 by the number of years (8), you get an approximate interest rate of 9 percent needed to double the investment.

Rule of 72 Approximately What Interest Rate Is Needed to Double