Final answer:
The rule of 72 is a technique used in finance to estimate the number of years required to double your money given a rate of return.
Step-by-step explanation:
The Rule of 72
The rule of 72 is a technique used in finance to estimate the number of years required to double your money given a rate of return. It is an approximation that is commonly used to quickly determine the time it will take for an investment or an economy to double in size.
To use the rule of 72, divide 72 by the annual growth rate to get the approximate number of years it will take for the money to double. For example, if the annual growth rate is 8%, it will take approximately 9 years for the money to double.