type the correct answer in the box. round your answer to the nearest year, if necessary. cassidy has saved…
type the correct answer in the box. round your answer to the nearest year, if necessary. cassidy has saved $8,000 this year in an account that earns 9% interest annually. based on the rule of 72, it will take about years for her savings to double.
Answer
Explanation:
Step1: Apply rule of 72
The rule of 72 states that to find the number of years it takes for an investment to double, we divide 72 by the annual interest rate (in percentage). Here the annual interest rate is 9%.
Step2: Calculate the number of years
We calculate $\frac{72}{9}$. $n=\frac{72}{9}=8$
Answer:
8