1. The problem statement, all variables and given/known data A town's population grows at 6.5% per annum. How many are in town now, if there will be 15 000 in 4.5 years? Please explain which of these solutions is best. Or explain a better solution, please. 2. Relevant equations A(t) = Per(t) <- general approach A = P(1+i)t <- compound interest formula (is this too simplified?) In both cases, A is the number of people at time, t. P is the current population (solving for P). The rate is r, or i. & e is Euler's number. 3. The attempt at a solution Solution 1. A(t) = Per(t) 15000 = Pe(0.065)(4.5) P = (15000)/(e(0.065)(4.5)) P = 11 195.9287 Solution 2. A = P(1+i)t 15000 = P(1.065)4.5 P = 15000/(1.0654.5) P = 11 298.4280 Why the difference? Which solution is better? Is the compound interest formula an over-simplification? Many thanks!