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 $300 now and Kant Miss is able to deliver on its promise, how long will it take your investment to reach $34,000?

Part 1) Using the Rule of 72, what annual rate is Kant Miss promising? (Round to the nearest whole percentage.)

Part 2) Using the time value of money equation, what annual rate is Kant Miss promising? (Round to two decimal places.)

Part 3) Is this investment a good deal? (Select the best response.)

A.Yes. This investment is a good deal if you are earning lower than 14.87% rate of return annually on your current investment.

B.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.

C.Yes. This investment is a good deal if you are earning higher than 14.87% rate of return annually on your current investment.

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