The population of a town increases by 8% every year. If the present population of the town is 14,580, then what was the population of the town 2 years ago?
Show answer & explanation
Correct answer: D
Explanation
The correct answer is option 4 i.e. 12,500.
Let the population 2 years ago be x,
So,
After 1st year the new population becomes = x + 8% of x = x + 0.08x = 1.08x
After 2nd year the new population becomes = 1.08x + 8% of 1.08x = 1.08x + 0.0864x = 1.1664x
So,
According to the question;
⇒ 1.1664x = 14,580
⇒ x = (14,580/1.1664) = 12,500
Hence, the population after 2 years is 12,500.