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zubka84 [21]
3 years ago
11

Determine how much time

Mathematics
1 answer:
IgorC [24]3 years ago
7 0

Answer: 11 years

Step-by-step explanation:

You can use the Rule of 72 which is a way to calculate quickly, the time it will take for an investment to double given its interest rate.

It works by:

= 72 / Interest rate

Rate is compounded quarterly so the periodic rate is:

= 6.56%/4

= 1.64%

Time taken to double = 72/1.64

= 43.9 quarters

In years that is:

= 43.9/4

= 11 years

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