Question

According to the rule of 72 if the GDP of apex federation is growing at 1.7% per year it's economy will double in approximately how many years

Answer 1

Using the Rule of 72, it will take approximately 42.35 years for the GDP of the Apex Federation to double with an annual growth rate of 1.7%.

Step-by-step explanation:

The Rule of 72 is a simple mathematical formula used to estimate the number of years required to double the value of an investment at a fixed annual rate of interest. By dividing 72 by the annual rate of growth, investors can get a rough estimate of how many years it will take for the initial investment to grow 100%. In the example provided, the GDP of the Apex Federation is growing at a rate of 1.7% per year. Using the Rule of 72:

Doubling time = 72 ÷ annual growth rate

Doubling time = 72 ÷ 1.7

Doubling time ≈ 42.35 years

Thus, it will take approximately 42.35 years for the GDP of the Apex Federation to double at the current growth rate of 1.7% per year.

Answer 2

Hi there

the rule of 72 says
72/rate=time. To be double
So
72÷1.7=42.4 years
round your answer to get 42 years

Note that the rate is 1.7 not 0.017 as a decimal

Good luck!