Answer
a) $P_n=240000(1.06)^n$.
b) $\approx382523.54$.
Work Step by Step
a) If the original amount was $240000$ and it increases by $6\%$ each year, then we can write:
$P_n=240000(1.06)^n$.
b) 2010 is 8 years after 2002. Thus, plugging in $n=8$ into the formula, we get:
$P_8=240000(1.06)^8\approx382523.54$.
