The population of a village increases by 6.25% every year. If the present population of the village is 4046, then what was its population 2 years ago?

The fractional equivalent of 6.25% is:
6.25%=
100
6.25
​
=
16
1
​

This means that if the population is 16 in one year, it becomes 16+1=17 the next year.

Let the population 2 years ago be P.
The population after 2 years is given by:

Present Population=P×(1+
16
1
​
)
2

4046=P×(
16
17
​
)
2

4046=P×
256
289
​

P=
289
4046×256
​

Dividing 4046 by 289:

289
4046
​
=14
P=14×256=3584
Thus, the population 2 years ago was 3584.