Question

The rule of 70 can be stated as follows: A variable with a growth rate of X percent per year:____________.a. doubles every 70/X years.b. doubles every 70(1 - 1/X) years.c. doubles every 70/X2 years.d. doubles every 70/(1 - X) years.

Answer 1

a. doubles every 70/X years.

Step-by-step explanation:

The rule of 70 calculates the amount of years it takes for an investment to double given its growth rate.

for example, an investment has a growth rate of 7%, the amount of years it would take the investment to double is 70 / 7% = 10 years