If you deposit money today in an account that pays 12.5% annual interest, how long will it take to double your money? Round your answer to two decimal places. years
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The rate of interest is 12.5%
Assume,
The present value is $1.
The future value is $2 as the amounts gets doubled.
The formula used to compute time period as follows:
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- You put $250 in the bank for S years at 12%. A. If interest is added at the end of the year, how much will you have in the bank after one year? Calculate the amount you will have in the bank at the end of year two and continue to calculate all the way to the end of the fifth year. B. Use the future value of $1 table in Appendix B and verity that your answer is correct.If you deposit money today in an account that pays 8% annual interest, how long will it take to double your money? Round your answer to two decimal places.If you deposit some money into a bank account today, to the nearest year, how long will it take to triple your deposit if it earns 32% annually? note: calculate to the nearest decimal. For example, if the answer is 12.56 years, then input your answer as 12.6
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