Simply divide 72 by the Annual Interest Rate and this is the time it will take you to double up your money.
For e.g.:- If you Invest 10,000 at 8% p.a., it will take you 9 years (72/8), to double up your money.
How many years FD will double?
than according to Rule 72 your invested money will be doubled in 72/8 = 9 years. This means if you invest Rs.1 lakh in Bank Fixed today than you will get Rs.2 lakhs if you stay invested for 9 years.
Does money double every 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.
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).
At what annual rate of interest compounded yearly Will money double in 8 years?
When interest is compounded annually, a single amount will double in each of the following situations: The Rule of 72 indicates than an investment earning 9% per year compounded annually will double in 8 years.