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How long for a sum of money to grow, how to double an investment

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We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount.
(a) For example, if a company's sales are growing at a rate of 18%per year, approximately how long will it take sales to triple?
(b) If you want an investment to double in 3 years, what interest rate must it earn?

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Solution Summary

The solution comprises of formulas and detailed step-by-step calculations for the given problems on interest rates and length of time related to present and future values.

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We sometimes need to find how long it will take a sum of money (or anything else) to grow to some specified amount. (a) For example, if a company's sales are growing at a rate of 18%per year, approximately how long ...

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  • MSc, Indian Institute of Technology - Roorkee (I.I.T.-ROORKEE)
  • BSc, Banaras Hindu University
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