How long will it take money to double if it is invested at 8% compounded weekly?
Let's say your interest rate is 8%. 72 ∕ 8 = 9, so it will take about 9 years to double your money.
For example, if an investment scheme promises an 8% annual compounded rate of return, it will take approximately nine years (72 / 8 = 9) to double the invested money.
Answer and Explanation:
According to this rule of thumb, the number of years to double the value of an investment is 72 divided by the rate of return (in percentage terms). In this question, the rate of return is 8.5 percent, so the number of years to double the value of the investment is: 72 / 8.5 = 8.47.
Answer and Explanation:
Since it is compounded semi-annually, the interest rate would be 8% / 2 = 4%. For semi-annual, the number of years would be 17.7 / 2 = 8.8. Hence, it will take 8.8 years to double the investment.
Answer and Explanation:
The investment will take 14.27 years to triple at 8% interest rate.
Double Time Formula
The time is calculated by dividing the natural logarithm of 2 by the exponent of growth or approximated by dividing 70 by the percentage growth rate, i.e. 70/r.
The Rule of 72 is a calculation that estimates the number of years it takes to double your money at a specified rate of return. If, for example, your account earns 4 percent, divide 72 by 4 to get the number of years it will take for your money to double.
⇒T=1008=12.5 years.
Solving for t: 2 0.09 ≈ 7.70 years.
Equities also typically offer appealing long term expected returns. On a 7% expected return, the doubling time falls to a decade. These are not forecasts, but the rule of 72 is a handy way to take a financial measure, like a rate of interest, and translate it into something which many people will find more tangible.
How long will it take for a $2000 investment to double in value?
Interest on investment rate: 6% p.a. It would take 12 yearsto double an investment of $2,000.
Expert-Verified Answer
Final answer: To reach $7,500 with an 8% interest rate, it would take approximately 9.7 years. Using a calculator, we find that time is approximately 9.7 years.
Answer and Explanation:
The future value of the investment is $12,968.71. It is the accumulated value of investing $5,000 for 10 years at a rate of 10% compound interest.
It's used to calculate the doubling time or growth rate of investment or business metrics. This helps accountants to predict how long it will take for a value to double. The rule of 69 is simple: divide 69 by the growth rate percentage. It will then tell you how many periods it'll take for the value to double.
Where \( \ln \) represents the natural logarithm. Where \( \ln \) represents the natural logarithm. So, it will take approximately 3.754 years for $6,000 to grow to $8,600 when invested at a continuous compounding rate of 9.6%.
Hence, if a two-year savings account containing $1,000 pays a 6% interest rate compounded daily, it will grow to $1,127.49 at the end of two years.
Let's say your interest rate is 8%. 72 ∕ 8 = 9, so it will take about 9 years to double your money. A 10% interest rate will double your investment in about 7 years (72 ∕ 10 = 7.2); an amount invested at a 12% interest rate will double in about 6 years (72 ∕ 12 = 6).
So, the time needed to double the investment if it is invested at 8 % 8\% 8% compounded monthly is approximately 8.69 years.
Basically, you can find the doubling time (in years) by dividing 70 by the annual growth rate. Imagine that we have a population growing at a rate of 4% per year, which is a pretty high rate of growth. By the Rule of 70, we know that the doubling time (dt) is equal to 70 divided by the growth rate (r).
Answer and Explanation:
The calculated value of the number of years required for invested amount to become double in amount is 7.27 years.
How long does it take to double 5% compound interest?
According to the Rule of 72, it would take about 14.4 years to double your money at 5% per year.
Thus, it will take approximately 13.86 years for the investment to double its original value.
So it will take about 12.5 years for an investment of $4000 to double to $8000 with an interest rate of 8% (using simple interest).
at 8% simple interest it will take 12.5 months to get doubled. at 5% simple interest it will take 20 months to get doubled. that is the difference of 7.5 months. Therefore, A $600 investment double at an 8% interest rate 7.5 months quicker as compared to a 5% interest rate.
Answer and Explanation:
The answer is: 12 years.
