Twenty years ago a small town in Texas had a population of 10,000. The population has increased 8% each year since then. What is the growth factor that would be used to solve this problem?

For a quantity that increases by 8% each year, add the rate as a decimal to 1: 1 + 0.08 = 1.08. The growth factor is therefore 1.08, meaning the population is multiplied by 1.08 each year. Choice C, “The growth factor would be 1.08,” is correct.

AI-written and checked against the verified answer.