A friend tells you that her savings account doubled in years. Use the Rule of 72 to estimate what the APR of her account was. APR=____%
doubled in ?? years.
To estimate the APR (Annual Percentage Rate) of your friend's savings account, we can use the Rule of 72. The Rule of 72 is a simple formula that helps estimate the number of years it takes for an investment to double given a fixed annual interest rate.
The formula is as follows:
Number of years to double = 72 / APR
In this case, we can rearrange the formula to solve for the APR by dividing 72 by the number of years it took for your friend's savings account to double.
APR = 72 / Number of years to double
Since you mentioned that your friend's savings account doubled in "x" years, we can substitute "x" into the formula to find the estimated APR.
APR = 72 / x
Please provide the number of years it took for your friend's savings account to double so that we can calculate the estimated APR.