Question

Approximately how many years would it take for an investment to grow fourfold if it was invested at 16 percent compounded semiannually

Answer 1

Answer: 4.5 years

Step-by-step explanation:

You can use the Rule of 144 to calculate how long it will take for an investment to grow fourfold.

It works by dividing 144 by the interest rate the investment is growing at;

= 144/16

= 9

As the investment is being compounded semi-annually, the number of years it will take are;

= 9/2

= 4.5 years