Best answer

You divide 72 by 10 percent to get the time it takes for your money to double. The “Rule of 72” is a rule of thumb that gives approximate results. It is most accurate for hypothetical rates between 5 and 20 percent.

Answered by: Tony Ngo Date created: May 13, 2022

What rate of return do you need to double your money in 10 years?

Asked By: S.M_Emamian Date created: May 03, 2022

7.2 percentThe math rule of 72 tells you how long it will take to double your money at a given rate. The interest rate times the number of years to double compounded equals 72. So to double an investment in 10 years, divide 72 by 10. A mutual fund needs an average annual return of 7.2 percent to double in 10 years.

Answered By: Anomie Date created: May 03, 2022

How can I double my money in 4 years?

Asked By: Michael P. Bazos Date created: May 11, 2022

If you divide your expected annual rate of return into 72, you can find out how many years it will take you to double your money. Let's say, for example, that you expect to get returns of 10 percent a year. Divide 10 into 72, and you discover the number of years it takes you to double your money, which is seven years.

Answered By: Archimedes Trajano Date created: May 14, 2022

How can I double my money per year?

Asked By: Sasha Chedygov Date created: May 10, 2022

The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. For example: If you invest money at a 10% return, you will double your money every 7.2 years.

Answered By: nosklo Date created: May 12, 2022

How can I double my money every 3 years?

Asked By: benzado Date created: May 09, 2022

The rule can tell you how fast you can double your money. Divide 72 by the interest rate at which you are compounding your money, and you will arrive at the number of years it will take to double in value. For instance, you money will double in 3 years if you are compounding at 24 per cent (ie 72/24 = 3 years).

Answered By: usr Date created: May 09, 2022

How many years would it take your money to double A at 10% interest compounded yearly?

Asked By: zwol Date created: May 08, 2022

7.2 yearsThe rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. 1 For example: If you invest money at a 10% return, you will double your money every 7.2 years. (72/10 = 7.2)

Answered By: beerwin Date created: May 10, 2022

How often should your money double?

Asked By: phils Date created: Apr 29, 2022

The rule of 72 can help you build wealth without much risk The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. 1 For example: If you invest money at a 10% return, you will double your money every 7.2 years. (72/10 = 7.2)

Answered By: anubhava Date created: Apr 29, 2022

How often does the value of money double?

Asked By: Daniel Earwicker Date created: Apr 29, 2022

The result is the number of years, approximately, it'll take for your money to double. 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.

Answered By: Rajesh Paudel Date created: May 02, 2022

What percentage of money will double in 10 years?

Asked By: rici Date created: May 05, 2022

(72/8 = 9) If you invest at a 7% return, you will double your money every 10.2 years.

Answered By: Matchu Date created: May 05, 2022

How does money double every 7 years?

Asked By: Robin De Schepper Date created: Apr 28, 2022

The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. 1 For example: If you invest money at a 10% return, you will double your money every 7.2 years. ... If you invest at a 7% return, you will double your money every 10.2 years.

Answered By: Jon Erickson Date created: Apr 29, 2022

How long does it take to double your money at 10 percent?

Asked By: Wes McKinney Date created: May 04, 2022

seven years At 10%, you could double your initial investment every seven years (72 divided by 10). In a less-risky investment such as bonds, which have averaged a return of about 5% to 6% over the same time period, you could expect to double your money in about 12 years (72 divided by 6).

Answered By: The Fool Date created: May 04, 2022

Related Question Answers

Nolan H

Professor

How fast can I double my money in the stock market?

The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. 1 For example: If you invest money at a 10% return, you will double your money every 7.2 years. (72/10 = 7.2)

Andriy Drozdyuk

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How can I double my money legally?

4 Simple Ways to Double Your MoneyInvesting. Investing is one of the best ways to grow your wealth because there's a good chance your annual rate of return will outpace inflation, gradually increasing your net worth. ... Use a high-yield savings account. ... Start a side hustle. ... Spend less to double your savings.

Rob

Professional

How do I double my money in 10 years?

The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return. 1 For example: If you invest money at a 10% return, you will double your money every 7.2 years.

DTan13

Professional

Can I double my money in 10 years?

The rule states that the amount of time required to double your money can be estimated by dividing 72 by your rate of return.

1 For example: If you invest money at a 10% return, you will double your money every 7.2 years.

...

If you invest at a 7% return, you will double your money every 10.2 years..

ozgur

Professional

How can I double my money on the market?

Rule of 72 defined The rule of 72 is a straightforward way that you can calculate how long it will take for your money to double based on an average annual rate of return. Using the rule, you take the number 72 and divide it by this expected rate.

Ilya Palkin

Professional

Can I double my money in 5 years?

Similarly, if you want to double your money in five years, your investments will need to grow at around 14.4% per year (72/5).

If your goal is to double your invested sum in 10 years, you should invest in a manner to earn around 7% every year.

Rule of 72 provides an approximate idea and assumes one time investment..

Moon

User

How can I double my money in 1 year?

To use the rule, divide 72 divided by the investment return (or interest rate your money will earn).

The answer will tell you the number of years it will take to double your money.

For example: If your money is in a savings account earning 3% a year, it will take 24 years to double your money (72 / 3 = 24)..

Sagar

User

How can I double my money in 3 years?

The rule can tell you how fast you can double your money. Divide 72 by the interest rate at which you are compounding your money, and you will arrive at the number of years it will take to double in value. For instance, you money will double in 3 years if you are compounding at 24 per cent (ie 72/24 = 3 years).

Artsiom Rudzenka

User

How can I double my money in a year?

To use the rule, divide 72 divided by the investment return (or interest rate your money will earn). The answer will tell you the number of years it will take to double your money. For example: If your money is in a savings account earning 3% a year, it will take 24 years to double your money (72 / 3 = 24).

Barbaros Özhan

User

Can you double your money every 7 years?

 At 10%, you could double your initial investment every seven years (72 divided by 10). In a less-risky investment such as bonds, which have averaged a return of about 5% to 6% over the same time period, you could expect to double your money in about 12 years (72 divided by 6).

Sudhir Bastakoti

User

Does money double every 7 years?

 At 10%, you could double your initial investment every seven years (72 divided by 10). In a less-risky investment such as bonds, which have averaged a return of about 5% to 6% over the same time period, you could expect to double your money in about 12 years (72 divided by 6).

Alex Fleischer

Guest

What interest rate do you need to double your money in 5 years?

14.4%For example if you wanted to double an investment in 5 years, divide 72 by 5 to learn that you'll need to earn 14.4% interest annually on your investment for 5 years: 14.4 × 5 = 72. The Rule of 72 is a simplified version of the more involved compound interest calculation.

Dimitri Kopriwa

Guest

How can I double my money in one month?

1. Mutual funds: If you have an investment horizon of around 6 to 7 years, mutual funds are the best option to see your money double. They are a safe way to push your money in the investment market and can eventually provide a return of around 12% to 14 %.

zcoop98

Guest

How can I double my money in stock market?

The rule of 72 is a famous shortcut for calculating how long it will take for an investment to double if its growth compounds. Just divide your expected annual rate of return into 72. The result is the number of years it will take to double your money.

knocte

Guest

At what rate of interest a sum of money doubles itself in 10 years?

In how many years will a sum of money double itself with the rate of 10% per annum simple interest? Here, we have R = 10% and have to calculate t for the sum of the money (that is P) to double. Hence, it will take 10 years for the sum of money to double itself with the rate of 10% per annum simple interest.

GManNickG

Guest

At what rate of interest will a sum of money double in 5 years?

14.4% per yearSimilarly, if you want to double your money in five years, your investments will need to grow at around 14.4% per year (72/5). If your goal is to double your invested sum in 10 years, you should invest in a manner to earn around 7% every year. Rule of 72 provides an approximate idea and assumes one time investment.

spuder

Guest

At what simple interest rate will a sum of money be doubled in 5 years?

Alternatively you can calculate what interest rate you need to double your investment within a certain time period.

For example if you wanted to double an investment in 5 years, divide 72 by 5 to learn that you'll need to earn 14.4% interest annually on your investment for 5 years: 14.4 × 5 = 72..

Tushar Gupta - curioustushar

Guest

At what simple interest rate will sum of money double itself in 5 years?

For example if you wanted to double an investment in 5 years, divide 72 by 5 to learn that you'll need to earn 14.4% interest annually on your investment for 5 years: 14.4 × 5 = 72.

The Rule of 72 is a simplified version of the more involved compound interest calculation..

Sotiris

Guest

How can I double my money in 5 years?

This is the number of years it will take for your money to double. For example, if your money is earning an 8 percent interest rate, you'll double your money in 9 years (72 divided by 8 equals 9). Or, if your money is earning a 5 percent interest rate, you'll double it in 14.4 years (72 divided by 5 equals 14.4).

gdaras

Guest

Does money double in 7 years?

The Rule of 72 states that the amount of time required to double your money equals 72 divided by your rate of return. For example: If you invest money at a 10 percent return, you will double your money every 7.2 years. If you invest at a 7 percent return, you will double your money every 10.2 years.

Leon Gaban

Guest

How can I double my money in 10 years?

The Rule of 72 states that the amount of time required to double your money equals 72 divided by your rate of return. For example: If you invest money at a 10 percent return, you will double your money every 7.2 years.

kennebec

Guest

How can I double my money in 7 years?

The most basic example of the Rule of 72 is one we can do without a calculator: Given a 10% annual rate of return, how long will it take for your money to double? Take 72 and divide it by 10 and you get 7.2. This means, at a 10% fixed annual rate of return, your money doubles every 7 years.