Rule of 72

Znany również jako: Doubling Time Rule

t \approx \frac{72}{r}

t ≈ 72 / r

Co to oblicza

A quick mental math shortcut to estimate how many years it takes for an investment to double at a given annual rate of return.

Symbol	Nazwa	Jednostka	Opis
t	Doubling Time	years	Approximate years for an investment to double
r	Annual Rate	%	Annual interest rate as a percentage (not decimal)

1t = 72 / 8 = 9 years

Wynik: ~9 years

A = P(1 + r/n)^(nt)

#mental math#investing#doubling