Not to be confused with 72-year rule. In finance, the rule of 72, the rule of 70 and
the rule of 69.3 are methods for estimating an investment's doubling time.
The rule of 72 is a shortcut to estimate the number of years required to double
your money at a given annual rate of return. The rule states that you divide the
Rule of 72. Have you always wanted to be able to do compound interest
problems in your head? Perhaps not... but it's a very useful skill to have because
it gives ...
The Rule of 72 is an easy way to calculate just how long it's going to take for your
money to double.
By learning and using the Rule of 72, you'll be able to quickly estimate the years
it would take to double your money or calculate the required rate of return.
The Rule of 72* gives a rough estimate of the time it takes for it to double. Simply
divide the number 72 by your investment's expected rate of return, and the ...
Take a closer look. You are 24 and have $3,000 in savings. You put it in an
account that you expect to earn 8%. According to the Power of 72, it will take 9
Mar 28, 2016 ... The Rule of 72 will tell you how long it will take for your money to double at a
given rate of return. 72 is the product if you like multiplication.
If you want to quickly determine how long it will take for your money to double, the
rule of 72 is all you need. Most people generally understand the concept of ...
Compound interest can have a dramatic effect on the growth of a single deposit.
By dividing 72 by your investment return you can determine the amount of time ...