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If population grows by 7 percent in the first year and 13 percent in the second, what is the approximate total two-year growth?

Answer and explanation

Correct answer: 20.91 percent

When percentage increases happen in successive years, the second increase applies to the already enlarged population. Therefore, the percentages should not simply be added unless an approximate, non-compounding estimate is specifically requested. The correct answer is option B, 20.91 percent.

Take an initial population of 100. After a 7 percent increase, it becomes 107. A 13 percent increase on 107 is 13.91, so the final population is 120.91. The total increase is therefore 20.91 percent. In formula form, the multiplier is \(1.07\times1.13=1.2091\). Option A, 20 percent, ignores the extra increase earned on the first year's growth.

Related tags

Compound GrowthSuccessive Annual RatesPopulation PercentageDemography MathsPopulation GrowthThe World Population – DistributionDensity And GrowthThe World Population Distribution Density And Growth

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