Quote:
Originally Posted by basharp1
The Rule of 72:
Question, How fast can I double my money?
Answer, If I'm earning net 12% (example) annually when will it double"
Rule of 72; 72/12=6 years, $10,000 will double if you continue to earn a net of 12% annually on your investment. The graph your using above, I believe is not representative of the "rule of 72" because its based on constant net return, I.E. 12% or what ever the rate of return is. Over an extended period you could establish a mean average and calulate it from there I suppose
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Kool, yeh 72 is what I have been using too, thanks.