One cent isn’t much. What could a girl buy with one cent? Not much, but those pennies add up.
In honor of National One Cent Day, we are sharing this calculation to show the power of one cent. The idea is to compound your money by doubling the value daily, starting with one penny.
Day one – Double $0.01 = $0.02
Day two – Double $0.02 = $0.04
Day three – Double $0.04 = $0.08
Day four – Double $0.08 = $0.16
Day five – Double $0.16 = $0.32
Day six – Double $0.32 = $0.64
Day seven – Double $0.64 = $1.28 day, or just round down to $1.25 to make it easy.
Day eight – Double $1.25 = $2.50 day eight < Here you can see that rounding down by a few pennies simplifies it.
Day nine – Double $2.50 = $5.00
Day ten – Double $5.00 = $10.00
Next it’s $20, and then $40, $80, $160, $320, $640, $1280 (round down to $1250), then $2500 and then to $5000.
That’s $5000 after 19 days.
$10,000 after 20 days of doubling your money.
Double again and so on day 21 you have $20,000, the next day that’s $40,000, then $80,000, and $160,000 on day 24, $320,000 in 25 days.
Keep doubling and now on day 26 you have $640,000.00 and day 27 $1,280,000, then to simplify round down to $1,250,000.00.
Double $1,250,000.00 = $2.5 million on day 28.
Double $2,500,000.00 = $5 million on day 29.
Double $5,000,000.00 = $10 million on day 30. Now ten million dollars, that would be a really Big Purse.