Morgan is 12 years old and would like to invest $1,000 into a U.S. Treasury Note earning 3.0% interest.  How many times will Morgan’s investment double before she draws it out at age 60?


To determine how many times Morgan's investment will double, we can use the Rule of 72. This rule provides a quick way to estimate how long it will take for an investment to double, given a fixed annual interest rate.

### Step 1: Apply the Rule of 72
The Rule of 72 states:
\[
\text{Doubling Time} \approx \frac{72}{\text{Interest Rate}}
\]
Here, the interest rate is 3.0%.

\[
\text{Doubling Time} \approx \frac{72}{3} = 24 \text{ years}
\]

### Step 2: Calculate the Number of Doublings
Morgan is currently 12 years old and plans to withdraw the investment at age 60, which means the investment will be left for:
\[
60 - 12 = 48 \text{ years}
\]
Now, divide the total time by the doubling time to find the number of times the investment will double:
\[
\text{Number of Doublings} = \frac{48}{24} = 2
\]

### Conclusion
Morgan's investment will double **two times** before she draws it out at age 60.

Would you like further details or have any other questions?

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Here are five related questions to expand on this topic:

1. How much will Morgan's investment be worth after it has doubled twice?
2. What if the interest rate were higher, say 4%? How many times would the investment double then?
3. What if Morgan decides to invest the money in a different type of investment with a compound interest rate? How would the calculations change?
4. How long would it take for the investment to triple instead of double at the same interest rate?
5. What would be the impact of inflation on the future value of Morgan's investment?

**Tip:** The Rule of 72 is a useful tool for quickly estimating the doubling time of an investment, but for more precise calculations, especially over long periods, compound interest formulas should be used.

Morgan is 12 years old and would like to invest $1,000 into a U.S. Treasury Note earning 3.0% interest. How many times will Morgan’s investment double before she draws it out at age 60?

Discover how to calculate the number of times Morgan's $1,000 investment will double with a 3.0% interest rate using the Rule of 72. This math problem is ideal for students in Grades 9-12, covering key concepts like interest rates, doubling time, and simple financial calculations.

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