Question

about how long does i take for your $200 nestment to grow to $4007 Suppose the inteest rate is Future value You have S200 to invest exactly twice as long to double your money? Why or why not? How long does it take? the annual interest rate is 8% the number of years I takes to double your jst half hat, at 4% Atha"the interest rate does "ake money is year, Roundtotwo decanal places) lfthe annual merest rate isjust half at 4% the number of years t takes to double your money is ]years (Rundto two A half be interet ra oste aly tice s sengto doubde you money? Select bet anser belo) O A. O B. No. it takes more than ice as long to double your money because the money Yes, R takes exacly wice as long to double your money regardless of the annual ieterest ate О с. No, it takes slgtey less than twice as long to double O D. Yes R takes exacity twice as long to double your money because the number of must be accumulated even longer at ha thsr tihe perlods is inearly related to the intorest rate your money because the money accumulated faster over longer te perlods

Answer 1

if the interest rate is 8%, then the income is going to be double by= 9.01 years, i.e. if i invest $200 today, it takes 9 years to become $400.

if the interest rate is 4%, the time taken to double the money is 18 years

(we follow rule 72 for calculating money double, divide the interest rate with 72, you will get the number of years to be double the money)

at has the interest rate:

option B is correct answer.