The population of a town increases every year by 4%. If its present population is 50,000, then after 2 years it will be

Answer: Option C

Here we can use the compound interest based formula,
$$\begin{array}{rl}& \text{Population after }n\text{ years}\\ & =P\times {\left[1+\frac{r}{100}\right]}^n\\ & \text{Population after 2 years}\\ & =50000\times {\left[1+\frac{4}{100}\right]}^2\end{array}$$
Population after 2 years = 54080

Alternatively,
we can use, net percentage change graphic as well,
50,000------4%↑---→ 52,000---- 4%↑---→ 54,080.
Then, population after 2 years= 54,080.
In this calculation, we need to find 1% of 50,000 first, which is easily calculated by dividing 50,000 by 100.