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Question
Under the electrification programme of villages, the number of villages with electricity rose to 27,040 from 25,000 in 2 years. Find the rate of growth in the number of villages with electricity.
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Solution
Vn = 27,040; V0 = 25,000 ; r = ? ; t = 2 years
`"V"_"n" = "V"_0 (1 + "r"/100)^"n"`
`27040 = 25000 (1 + "r"/100)^2`
`27040/25000 = (1 + "r"/100)^2`
`(164.43/158)^2 = (1 + "r"/100)^2`
`(1 + "r"/100) = 164.43/158`
`"r"/100 = 164/158 - 1`
`"r"/100 = 6.43/158`
r = 0.040 x 100
r = 4 %
The rate of growth in number of villages with electricity is 4 %.
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