Question

By using the formula, find the amount and compound interest on:

The population of a town is 125000. It is increasing at the rate of $2\%$ per annum. What will be its population after 3 years ?

Answer 1

$\text{Present population (P) = 125000}\text{Rate of increasing (R)}=2\%p.a.\text{Period (n) = 3 years}\therefore \text{Population after 3 years}=p{(1+\frac{R}{100})}^n=125000{(1+\frac{2}{100})}^3=125000\times {\left(\frac{51}{50}\right)}^3=125000\times \frac{51}{50}\times \frac{51}{50}\times \frac{51}{50}=132651$