Double your wealth.

Kant Miss Company is promising its investors that it will double their money every 5

years. What annual rate is Kant Miss promising? Is this investment a good deal? If you invest $250

now and Kant Miss is able to deliver on its promise, how long will it take your investment to reach $28,000?

Using the Rule of 72, what annual rate is Kant Miss promising?

14.414.4%

(Round to the nearest whole percentage.)

Using the time value of money equation, what annual rate is Kant Miss promising?

nothing%

(Round to two decimal places.)

Is this investment a good deal?(Select the best response.)

A.

Yes. This investment is a good deal if you are earning higher than 14.87%

rate of return annually on your current investment.

B.

Yes. This investment is a good deal if you are earning lower than 14.87%

rate of return annually on your current investment.

C.

No. This investment is not a good deal if you are earning a rate of return lower than 14.87%

annually on your current investment.

D.

No. It is hard to tell whether this investment is a good deal or not.

If you invested $250

now and Kant Miss was able to deliver on its promise, how long would it take before your investment reaches $28,000?