Question: Compare the answer to Exercise 10 with the Rule of Seventy described in Exercise 13. Exercise 13. How long will it take to double your

Compare the answer to Exercise 10 with the Rule of Seventy described in Exercise 13.

Exercise 13.

How long will it take to double your money at an interest rate that is << 100% starting with the expression F = P(1 + r)N? ln(1 + r) ≈ r if r << 1 and log (x)^N = N log (x)

Step by Step Solution

★★★★★

3.42 Rating (171 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

The Rule of Seventy states that it takes approximately 70r years to double you... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Exploring Engineering Introduction Questions!

1. Suppose that a $100,000 investment grows 3% during the first year and 4% during the second year. By what percent will it have grown after the 2-year period? (The answer is not 7%) 2. Rework...

To what population does the answer to Exercise 19.3 generalize?

A random variable that takes the value 10 with probability 1/3 and the value of 0 with probability 2/3. Compare your answers with the answer to Exercise 5. Consider the above random variables that...

Project 3 YOUR NAME____________________________________________ This project contains questions from Chapter 10 project page 522 Exercises Solutions Hints 1. Suppose a $100,000 investment grows 3%...

Question 1 To what amount will the following investment accumulate? $6,598, invested today for 26 years at 7 percent, compounded annually. Round the answer to two decimal places. Question 2 You...

So sent in my unadjusted trail balance sheet in and had some things wrong the FUTA/SUTA need to be added from form27. Then when I went thought the check figures, non of the answers are correct. Its...

Instruction: 1. Mention the parties involved in the case, duly identified as plaintiffs or defendants, etc. 2. What is the main controversy that arises in the case. (The controversy It is always that...

Using the attached and the unit reading assignment, explore the capital budgeting techniques covered in the unit, NPV, PI, IRR, and Payback. Compare and contrast each of the techniques with an...

Assignment (Short-Answer and Algebraic Questions): (The numbers in square brackets give the breakdown of the points for various parts of each question. please explain your answers.) 1. This questions...

ABC Corporation is considering an expansion that will require an investment of $523,332 in equipment. The proposed expansion will also require an additional $100,000 in inventory to support the...

Barbara owns an incorporated consulting business and has spent many years building its respectable reputation. However, business recently has dropped dramatically because of the unprofessional...

FTP and SMTP are the official protocol used for Internet communication is: True False

=+5 How far can we go in customising our offering for each customer?

For the data given in this problem, determine the magnitude of the active thrust on the wall retaining a c' ' soil, using the procedure discussed in Section 16.10. Given H = 5 m, c' = 5 kN/m 2 , ' =...

A 5 m high smooth vertical wall is pushed against a clay where the total stress parameters are given as c = 15 kN/m 2 , f = 0, = 18 kN/m 3 . At the passive state, plot the variation of the lateral...

For a smooth vertical wall retaining a granular backfill inclined at an angle of = 15, check whether Eqs. (16.70) and (16.72) (or Tables 16.9 and 16.10) give the same values for the passive earth...

An asset has an average return of 1 1 . 2 7 percent and a standard deviation of 2 4 . 0 9 percent. What is the most you should expect to earn in any given year with a probability of 2 . 5...

Compute the Weighted Average Cost of Capital ( WACC ) for Bob s Crystal Pool Supply given that the after - tax cost of debt financing rd ( 1 T ) is 1 0 % , the cost of preferred stock financing ( rp...

Impossible Corporation just paid a dividend of $2.30 per share. The dividends are expected to grow at 23 percent for the next eight years and then level off to a growth rate of 7 percent...