Article
HOW LONG DOES IT TAKE FOR YOUR MONEY OR DEBT TO DOUBLE? EXPLAINING THE RULE OF 72 TO STUDENTS🔗
¿CUÁNTO TIEMPO TARDA EN DUPLICARSE SU DINERO O DEUDA? EXPLICANDO LA REGLA DEL 72 A LOS ESTUDIANTES🔗
English
Full Article 
Citation
Author(s)🔗
Michael B Tannen 
, University of the District of Columbia, United States
https://doi.org/10.35564/jmbe.2022.0003
Abstract🔗
The ‘rule of 72’ provides a useful approximation of when an investment or debt will double. Students can apply it for an estimate, avoiding mistakes later when using technology for a precise answer. On standardized tests, moreover, such devices may be disallowed. In job interviews, too, quickly approximating the doubling answer demonstrates the impressive problem-solving ability. Illustrations abound online and in traditional media showing how to use it. This is not the same as explaining why it works or the limitations. Inquiring students want to know. This paper combines familiar territories in math and application to provide a relatively simple mathematical explanation.
Keywords
management education, economics education, investments, money management, financial planning, economic growth
Resumen🔗
La "regla del 72" proporciona una aproximación útil de cuándo se duplicará una inversión o una deuda. Los estudiantes pueden aplicarlo para una estimación, evitando errores posteriores al usar la tecnología para una respuesta precisa. En las pruebas estandarizadas, además, dichos dispositivos pueden no estar permitidos. En las entrevistas de trabajo, también, aproximar rápidamente la respuesta duplicada demuestra la impresionante capacidad de resolución de problemas. Abundan las ilustraciones en línea y en los medios tradicionales que muestran cómo usarlo. Esto no es lo mismo que explicar por qué funciona o cuáles son sus limitaciones. Los estudiantes curiosos quieren saber. Este trabajo combina territorios familiares en matemáticas y aplicaciones para brindar una explicación matemática relativamente simple.
Palabras clave
educación en administración, educación en economía, inversiones, administración del dinero, planificación financiera, crecimiento económico
Received
12 November 2021
Accepted
2 February 2022
Copyright
This is an open access article under the CC BY-NC license.
Citation🔗
Tannen, M. (2022). How long does it take for your money or debt to double? Explaining the rule of 72 to students. Journal of Management and Business Education, 5(1), 38-47. https://doi.org/10.35564/jmbe.2022.0003
References🔗
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