Answer
True
Work Step by Step
Let $M=\frac{-2xy}{(x^2+y)^2}$ and $N=\frac{x^2}{(x^2+y)^2}$
Obtain:
$\frac{\partial M}{\partial y}=\frac{\partial}{\partial y}(\frac{-2xy}{(x^2+y)^2})=\frac{-2x(x^2-y)}{(x^2+y)^3}\\
\frac{\partial N}{\partial y}=\frac{\partial}{\partial y}(\frac{x^2}{(x^2+y)^2})=\frac{-2x(x^2-y)}{(x^2+y)^3}$
The potential function $\Phi(x,y)=\frac{y}{x^2+y}$
Hence, the statement is true.