The population of a town increases every year by 4%. If population was 50000 in starting, then after two years will be :

Answer: Option C

4% = $$\frac{1}{25}$$
$$\begin{array}{c}\text{Initial }\text{Final}\text{hfill}\\ 2526\text{hfill}\\ 2526\text{hfill}\\ \overline{625676}\text{hfill}\end{array}$$
According to the question,
625 units = 50000
1 unit     = $$\frac{50000}{625}$$ = 80
676 units = 80 × 676 = 54080
Hence, population after two years = 54080