Compound interest basically occurs when you invest money in an account and do not take it out. The interest that you receive at the beginning of the investment starts to gain interest and so on and so on. This means that you will make more off the investment over time because the interest sits in the account and continues to grow.
A rule stating that in order to find the number of years required to double your money at a given interest rate, you divide the compound return into 72. The result is the approximate number of years that it will take for your investment to double.
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