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Asked in a 1981 paperModerate

If population of certain city increases at the rate of 5%. If population in 1981 was 138915, then population in 1978 was__________?

Correct answer: A. 1,20,000

  • A. 1,20,000
  • B. 1,10,000
  • C. 1,00,000
  • D. 90,000

Explanation

From 1978 to 1981 there are 3 annual increases, so the 1981 population is the 1978 population x 1.05 x 1.05 x 1.05 = population x 1.157625. Therefore, the 1978 population is 138,915/1.157625 = 120,000 people. The likely trap is 110,000, which does not correctly reverse all three 5% increases.

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