Question

Compute the doubling time (in years) associated to an annual compound interest rate of 4.1%. Round your answer to the nearest tenth of a year.

Answer 1

The doubling time associated with an annual compound interest rate of 4.1% is approximately 17.6 years.

Step-by-step explanation:

To compute the doubling time associated with an annual compound interest rate of 4.1%, we can use the rule of 72. The rule of 72 states that you can approximate the doubling time by dividing 72 by the interest rate. In this case, the doubling time (in years) is approximately 17.6 years (72/4.1).