Explanation:

- The initial population is 200,000.

- The population increases by 10% annually.

- After 1 year, the population is:

$$200,000+(200,000\times 0.10)=200,000\times 1.10=220,000$$

- After 2 years, the population is:

$$220,000+(220,000\times 0.10)=220,000\times 1.10=242,000$$

- Option 1: 240,000 - Incorrect, the growth over 2 years is underestimated.

- Option 2: 242,000 - Correct, matches the calculated number.

- Option 3: 221,000 - Incorrect, the growth percentage is incorrectly applied.

- Option 4: 244,000 - Incorrect, slightly overestimates the population.

Your calculated result is indeed 242,000.