Answer
a) $S_n=S_{n-1}+2000$
b) $\$38000$
Work Step by Step
a) If the original amount was $30000$ and it increases by $2000$ each year, then we have
$S_n=S_{n-1}+2000$
and we can write:
$S_n=30000+(n-1)2000$.
b) Plugging in $n=5$ into the formula, we get:
$S_5=30000+(5-1)2000=\$38000$
