Homework answers / question archive / a) According to the rule of 72, how many times your money will be doubled over a 36- year period if it earns a rate of return of 8% per year? b)Using the rule of 72, estimate the value of an initial investment of $100K at the end of a 36-year period if it earns a rate of return of 8% per year? c) According to the 4% rule, what the size of your investment portfolio needs to be in order for you to withdraw an initial annual amount of $250K? d)Referring to part c, what will be your 3 rd annual withdrawal amount if the inflation rate during the 2 years since your initial withdrawal averaged 2% per year?

a) According to the rule of 72, how many times your money will be doubled over a 36- year period if it earns a rate of return of 8% per year? b)Using the rule of 72, estimate the value of an initial investment of $100K at the end of a 36-year period if it earns a rate of return of 8% per year? c) According to the 4% rule, what the size of your investment portfolio needs to be in order for you to withdraw an initial annual amount of $250K? d)Referring to part c, what will be your 3 rd annual withdrawal amount if the inflation rate during the 2 years since your initial withdrawal averaged 2% per year?

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a) According to the rule of 72, how many times your money will be

doubled over a 36- year period if it earns a rate of return of 8% per year?


b)Using the rule of 72, estimate the value of an initial investment of $100K at the end of a 36-year period if it earns a rate of return of 8% per year?


c) According to the 4% rule, what the size of your investment portfolio needs to be in order for you to withdraw an initial annual amount of $250K?


d)Referring to part c, what will be your 3 rd annual withdrawal amount if the inflation rate during the 2 years since your initial withdrawal averaged 2% per year?