Ben put $75 into a CD that pays 1.5% interest compounded monthly According to the rule of 72 approximately how long will it take

Question

gregori [183]

4 years ago

14

Ben put $75 into a CD that pays 1.5% interest compounded monthly According to the rule of 72 approximately how long will it take

for his money to double?

Mathematics

2 answers:

german · Answer 1 · 2022-01-12T14:36:48+03:00

german4 years ago

6 0

72÷1.5=48 years
.................

MissTica · Answer 2 · 2022-01-12T15:50:23+03:00

Answer:

The answer is 48 years.

Step-by-step explanation:

The Rule of 72 is used by investors to get a rough estimate of how long an investment will take to double itself with a fixed annual rate of interest. Hence, we divide the given rate of interest by 72 to get a rough estimate.

Here the given information is : Ben put $75 into a CD that pays 1.5% interest compounded monthly

So, time needed to double the CD is $\frac{72}{1.5}= 48$ years.