Question

If the doubling time of an investment is 18 years, what is the approximate interest rate? (round to nearest whole number, enter value as a whole number percent, do not include "%" sign in answer box)

Answer 1

The interest rate is approximately 3.89 percent.

Step-by-step explanation:

To calculate the interest rate, we can use the rule of 70. The rule of 70 states that the doubling time of an investment can be approximated by dividing 70 by the interest rate. In this case, the doubling time is 18 years, so we can calculate the interest rate by dividing 70 by 18. The interest rate is approximately 3.89 percent.