The population of a town is 74,400. It grows by 5% every year. What will the population be after 2 years?

💡 Solution & Explanation

Each year's growth is on the new population. After 1 year: 74,400 × 105/100 = 78,120. After 2 years: 78,120 × 105/100 = 82,026. Adding 10% of the original once gives 81,840, which forgets the growth on the first year's increase.