If Teddy Godfried Invests $10,000 Today in an Account Compounding

Multiple Choice

If Teddy Godfried invests $10,000 today in an account compounding yearly, and he wants his money to at least double within 10 years, what interest rate is needed?
$\begin{array}{|c|c|c|c|c|c|c|}\hline\text { Future } \\\text { Value of } \\\$ 1\\\hline&4\%&5\%&6\%&7\%&8\%&9\%\\\hline 1& 1.040 & 1.050 & 1.060 & 1.070 & 1.080 & 1.090 \\\hline 2& 1.082 & 1.103 & 1.124 & 1.145 & 1.166 & 1 .188 \\\hline 3 & 1.125 & 1.158 & 1.191 & 1.225 & 1.260 &1.295 \\\hline 4 & 1.170 & 1.216 & 1.261 & 1.311 & 1.360 &1.412 \\\hline 5 & 1.217 & 1.276 & 1.338 & 1.403 & 1.469 & 1.539\\\hline 6 & 1.265 & 1.340 & 1.410 & 1.501 & 1.587 &1.677 \\\hline 7 & 1.316 & 1.407 & 1.504 & 1.606 & 1.714 &1.828 \\\hline 8 & 1.369 & 1.477 & 1.594 & 1.718 & 1.851 &1.993 \\\hline 9 & 1.423 & 1.551 & 1.689 & 1.838 & 1.999 & 2.172 \\\hline 10& 1.480 & 1.629 & 1.791 &1.967 & 2.159 &2.367 \\\hline\end{array}$

A) 5%
B) 6%
C) 7%
D) 8%