[tex]C(n)=C(n-1)+(C(n-1)\times0.03),\forall\:n>1[/tex]
1) A Recursive formula always makes reference to the previous item. So, let's begin with the first value for the rent $62,000. This is the first term of this sequence, if we think of it as a sequence
2) So, we can write out the following:
[tex]\begin{gathered} C(n)=C(n-1)+(C_n\times0.03),n>1 \\ C(1)=62000 \\ Let^{\prime}s\:test\:it: \\ C(2)=62000+(62,000\times0.03)=63860 \\ C(3)=63860+(63860\times0.03)^=65775.8 \end{gathered}[/tex]
Note that this recursive formula it's only valid when n is greater than 1. And each subsequent year gets a raise over the current rent.
