Compound Interest: Double your Money!

Compound Interest

The key Rule of Seventy-Two
Will be of interest to you
If you want to know
How your savings grow
To double true value anew

Alan Grace
4 October 2017

If you want to know how many years it will take your savings to double (and then double again … ), the Rule of 72 gives the answer.

Interest rate % P.A.

Years to double

1

72

2

36

3

24
4

18

6

12

8

9

9

8

12

6

18

4

24

3

Ruleof72

Actually if should be 69 (69.3) or 70 [because ln(2) ~ .693] but 72 is used because it can be divided by more whole numbers. See: https://betterexplained.com/articles/the-rule-of-72/

CompoundInterest

Daily prompt: Interest

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