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If a population grows by 20 percent in the first year and declines by 20 percent in the second year, what is the result compared with the initial population?

Answer and explanation

Correct answer: 4 percent decrease

Answer: B. Use a convenient starting population of 100. A 20% increase makes it 100 × 1.20 = 120. The next 20% decrease is calculated on 120, so the decrease is 24 and the final population is 120 − 24 = 96. Compared with the original 100, the final value is 4 lower, which is a 4% decrease. A is wrong because equal percentages do not cancel when they use different bases. C has the wrong direction. D incorrectly applies the 20% decrease to the original population instead of the increased population. The general multiplier is 1.20 × 0.80 = 0.96, confirming that 96% of the original remains. Memory cue: equal percentage rise and fall usually produce a net fall, because the fall acts on the larger intermediate value.

Related tags

Successive Percentage ChangePopulation IncreaseDecreaseCompound EffectPopulation GrowthThe World Population – DistributionDensity And GrowthThe World Population Distribution Density And GrowthGeography

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