Business #2

[iam_trias]

Use the Rule of 72 calculator. Enter 3% with an initial investment of $2000 in the first box. Enter 3% and the initial investment of $2500 in the second box. How much more will you make after 55 years by investing an extra $500 initially?

[Mamyalynne]

https://en.wikipedia.org/wiki/Rule_of_72

[jim360]

Couldn't you just, you know, "enter 3% with an initial investment of $2000" in the actual box? This is literally just plugging numbers into a screen and reading off the output.

[Old_Geezer]

Mamy's link tells us it is an established estimation tool. Anyone who got an exact answer would have their homework marked "wrong".

I think the question ought to ask how one uses this rule and how to apply it to the sample calculation problem.