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What is the rate 72 and 12?

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Anonymous

∙ 8y ago
Updated: 8/21/2019

The ratio is 6 to 1

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Wiki User

∙ 8y ago
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The LCM of 12 and 72 is 72


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The 'Rule of 72' is a simple formula used to estimate the time it takes for an investment to double in value based on a fixed annual rate of return. By dividing 72 by the annual interest rate (expressed as a percentage), investors can quickly gauge the approximate number of years required for their investment to grow twofold. For example, if the rate of return is 6%, it would take about 12 years for the investment to double (72 ÷ 6 = 12). This rule provides a quick mental calculation for evaluating investment growth.


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