How long will it take for $5,000 to grow to $10,000 in an account that yields 1.2% interest compounded annually. Experiment with

Question

mafiozo [28]

3 years ago

6

How long will it take for $5,000 to grow to $10,000 in an account that yields 1.2% interest compounded annually. Experiment with

the formula in your calculator using different years or use logarithms.

Mathematics

1 answer:

Aleonysh [2.5K] · Answer 1 · 2022-12-24T10:35:51+03:00

$5000 would grow to $10,000 in 60 years

In order to determine the number of years it would take for $5000 to double, the rule of 72 can be used.

The rule of 72 is a rule of thumb that is used to determine the number of years it would take for the money in an account to double given the interest rate.

Rule of 72 = 72 / interest rate

72 / 1.2 = 60 years

In order to determine the number of years it would take $5,000 to grow to $10,000 in an account that yields 1.2% interest, divide 72 by the interest rate.

To learn more about the rule of 72, please check: brainly.com/question/2262294?referrer=searchResults