​The present population of a town is 98000. It increases every year at the rate of 40 percent. What was the population of the town 2 years ago?

Correct option is D

Given:
Present population = 98,000
Annual increase rate = 40%
We are to find the population 2 years ago

Formula Used:
To find the population x years ago when population increases at r% annually, we use:

​$$\text{Population } x \text{ years ago} = \frac{\text{Present Population}}{\left(1 + \frac{r}{100}\right)^x}$$

Solution:

$$\text{Population 2 years ago} = \frac{98000}{\left(1 + \frac{40}{100}\right)^2}\\\ \\ = \frac{98000}{(1.4)^2} = \frac{98000}{1.96} = 50000$$

​Final Answer: (D) 50000