AAPL wrote:GMAT Prep
If a town of 25,000 people is growing at a rate of approximately 1% per year, the population of the town in 5 years will be closest to?
A. 26000
B. 27000
C. 28000
D. 29000
E. 30000
OA A
After 1 year, the growth will be:
25,000 + 250 = 25,250
After 2 years the growth will be:
25,250 + 252 = 25,502
After 3 years the growth will be:
25,502 + 255 = 25,757
So essentially, we see that the growth is a little more than 250 people a year.
25,000 + 250 x 5 = 26,250, so about 26,000.
Alternate solution:
The population of the town in 5 years is:
25,000 x (1 + 0.01)^5 = 25,000 x 1.01^5 = 26,275, which is closest to 26,000.
Answer: A
