What Is the Rule of 72

question 11

Multiple Choice

What is the rule of 72?

• A)Individuals over the age of 72 should invest in fixed-income securities exclusively.
• B)Investments double in value once every 72 compounding periods.
• C)The time until investments double in value is equal to the annual interest rate divided by 72.
• D)The time until investments double in value is equal to 72 divided by the annual interest rate.
• E)None of the above.

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Definitions:

Pay

The salary or wages received by an employee as compensation for their job role within an organization.

Organizational Citizenship Behaviors

Voluntary actions by employees that are not part of their formal job responsibilities but contribute to the overall effectiveness of the organization.

Counterproductive Work Behaviors

Actions by employees that hurt the well-being or productivity of the organization, such as sabotage, theft, or wasting time.

Job Satisfaction

A measure of an employee's contentedness with their job, including aspects like work environment, role, and rewards.