Which financial ratio can be quickly assessed using the Rule of 72?

The Rule of 72 is a simple formula used to estimate the number of years required to double an investment at a fixed annual rate of return. By dividing 72 by the expected annual return percentage, investors can quickly determine how long it will take for their money to double. This makes it especially useful for evaluating the growth potential of investments, as it provides a straightforward way to visualize the time involved in compounding.

In contrast, the other financial ratios do not pertain directly to this concept of compounding growth over time. The debt-to-income ratio assesses an individual's ability to manage monthly debt payments relative to their income, which is fundamentally different from evaluating investment growth. Return on investment does measure profitability, but it does not relate to the time it takes for an investment to double its value. Lastly, the current ratio evaluates a company's ability to pay short-term liabilities with its short-term assets, which is a liquidity measure rather than a growth measure. Therefore, the choice regarding the time to double money aligns perfectly with the application of the Rule of 72.