Question

There are 15,000 plants in a garden . If target rate for growth in number of plants is 10% per year compounded annually .What will be the number of plants in garden after 2 years ?

• A. 18,150
• B. 19,150
• C. 18,200
• D. 18,250

Answer 1

The correct option is A 18,150

P= Present number of plants in garden= 15,000

r= 10 p.c.p.a

A = Number of plants after 2 years

$=P(1+\frac{r}{100}{)}^n$

$=15,000(1+\frac{10}{100}{)}^2$

$=15,000(\frac{110}{100}{)}^2$

$=15,000\times \frac{110}{100}\times \frac{110}{100}$

$=18,150$

The number of plants after two years = 18,150