Compound Interest and the Rule of 72

Compound Interest is the calculation of how much many you gain in a certain amount of years depending on the percentile interest. You can only gain per year after you set the money aside for saving. Therefore, in order to define accurately the amount to be paid under a legal contract with interest, the frequency of compounding and the interest rate must be specified. Different conventions may be used from country to country, but in finance and economics there must be some type of rate. The Rule of 72 is basically an equation where each individual can determine the exact amount money and how long it will take you to double your current amount or the amount that you're looking for...your choice
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