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Asked in a 1981 paper

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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Percentages express a quantity as parts per hundred and support calculations involving increases, decreases, discounts, commissions, taxes, and successive changes. Questions require distinguishing percentage change from percentage points and identifying the original value when a final value and its percentage change are given.

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