Use the rule of 72 to determine how long it takes to accumulate $10,000 in a savings
Question:
Rule of 72: The time (years) required to double the value of a lump-sum investment that is allowed to compound is approximately
72 ÷ annual interest rate (as a %).
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 76% (13 reviews)
Solution by Rule of 72 N 72 10 ...View the full answer
Answered By
SUBHASHREE SWAIN
i have completed my Master's and now i want to do Ph.D on cancer research. i love to teach as well as love to read. i want to reach the highest qualification so that i will have sufficient knowledge to distribute among my students. i am in teaching field for 2yrs and my students love me(i think so). i always try my best to clear their doubts with the simplest way. for me both students and teachers should reciprocate among themselves. there are some times while my students make me aware of something and i appreciate that. i hope i am going to have a great experience here. looking for the best.
0.00
0 Reviews
10+ Question Solved
Related Book For
Engineering Economy
ISBN: 978-0132554909
15th edition
Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Question Posted:
Students also viewed these Finance questions
-
Here are two useful rules of thumb. The Rule of 72 says that with discrete compounding the time it takes for an investment to double in value is roughly 72/interest rate (in percent). The Rule of 69...
-
Describe how you can use the Rule of 72 to make financial planning decisions.
-
Suppose that when you were one year old, your grandmother gave you a shiny silver dollar. Your parents put that silver dollar in a savings account with a guaranteed 9% interest rate, and then...
-
Charlie invested $2,000 at the end of 2015, $2,500 at the end of 2016 and $550 at the end of 2017.She earned 8% on her investment.How much money did she have at the end of 2017?
-
MKM International is seeking to purchase a new CNC machine in order to reduce costs. Two alternative machines are in consideration. Machine 1 costs $500,000, but yields a 15 percent savings over the...
-
What is the advantage of issuing bonds instead of obtaining financing from the companys owners?
-
Water enters the horizontal, circular cross-sectional, sudden contraction nozzle sketched in Fig. P5.40 at section (1) with a uniformly distributed velocity of \(25 \mathrm{ft} / \mathrm{s}\) and a...
-
Describe MHSs recent change in business strategy. It was late October of 2009, and Willis Willie Stahe was running late. As president of Midwest Universitys Computing and Information Systems student...
-
3. Does your district have a person located at the school to lead the coordination of school and community partnerships? If so, what is the title of that person and what other jobs/duties is he or...
-
Refer to the information for Lu Corp. in BE13-20 and BE13-21. Assume that the increase in the asset retirement obligation in 2017 related to the production of oil in 2017 was $61,942. Prepare any...
-
Mr. Smith has saved $1,200 each year for 20 years. A year after the saving period ended, Mr. Smith withdrew $7,500 each year for a period of five years. In the sixth and seventh years, he only...
-
Suppose you are considering borrowing $140,000 to finance your house. The annual rate of interest is 15% and payments are made monthly. If the mortgage is on a 30-year schedule, what are the monthly...
-
Ronnie, I dont like texting back and forth, so please call me so we can talk. Identify the communication barrier indicated by each statement. A. Perception B. Information overload C. Channel...
-
If the fastest you can safely drive is 65 mi/h, what is the longest time you can stop for dinner if you must travel 541 mi in 9.6 h total?
-
What does the Highlight Changes tool compare? Select the two correct answers. One specified range of cells to another specified range of cells Two versions of a worksheet Two versions of a workbook A...
-
What is the M 2 of the fund? Use the following data: ret st.deviation beta Managed fund 23% 56% 1.3 Market 12% 22% 1 Risk free rate 1%
-
How do you think the racial wealth gap affects special education? explain
-
Tiko is a real estate professional representing a client who owns an aging low-rise office tower. The client would like to sell the property in 3 years but is worried he will not get the price he...
-
Develop a procedure similar to that of 13.3 to calculate a binary batch stripping operation using the equipment arrangement of Figure 13.8. Feed tank Main cut 1 Off cut Main cut 2 Figure 13.8 Batch...
-
A certain Christmas tree ornament is a silver sphere having a diameter of 8.50 cm. Determine an object location for which the size of the reflected image is three-fourths the size of the object. Use...
-
CGK Rheosystems makes high-performance rotational viscometers capable of steady shear and yield stress testing in a rugged, compact footprint. How much could the company afford to spend now on new...
-
Five years ago a consulting engineer purchased a building for company offices constructed of bricks that were not properly fired. As a result, some of the bricks were deteriorated from their exposure...
-
Metso Automation, which manufactures addressable quarter-turn electric actuators, is planning to set aside $100,000 now and $150,000 one year from now for possible replacement of the heating and...
-
1. What is difference between Torque and Force? Explain with one example of each. 2. What is difference between linear momentum and angular momentum? Explain with one example of each. 3(a) What is...
-
On August 30, JumpStart paid the following expenses: August rent, $2,300 August's utility bill, $525 Employee wages, $1,750 Parking lot cleaning fee, $27 Journalize these payments as one journal...
-
A 700 g ball strikes a wall at 15.1 m/s and rebounds at 14.4 m/s. The ball is in contact with the wall for 0.034 s. What is the magnitude of the average force acting on the ball during the collision?...
Study smarter with the SolutionInn App