Rule of 72 Earlier, we discussed the Rule of 72, a useful approximation for many interest rates

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Rule of 72 Earlier, we discussed the Rule of 72, a useful approximation for many interest rates and periods for the time it takes a lump sum to double in value. For a 10 per cent interest rate, show that the ‘Rule of 73’ is slightly better. For what rate is the Rule of 72 exact? (Hint: Use the Solver function in Microsoft Excel.)

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Fundamentals Of Corporate Finance

ISBN: 9780077178239

3rd Edition

Authors: David Hillier, Iain Clacher, Stephen A. Ross

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