calculation question - How many years before X number of sales

Jemand fragte am 7. Dez 2017 - 1 Antwort

Hi,

I would like to know how to answer the following question, without having to calculate the incremental increase year after year (and without calculator) :

If A has $6000 of sales today, how many years will it take B to get there, if he has $3000 sales today, with 5% of growth each year ?

Thanks

Alex
Experte
antwortete am 7. Dez 2017
PIP

You may apply the Rule 72. You divide 72 by the rate and get the number of years to double the initial number:

https://www.investopedia.com/ask/answers/04/040104.asp