To solve the differential equation using Euler's method, we use the formula:
\[
y_{n+1} = y_n + h \cdot f(x_n, y_n)
\]
where \( f(x, y) = x^2y \) and \( h = 0.1 \).
We are given the initial condition \( y(0) = 1 \) and want to find \( y(0.2) \). First, we calculate \( y(0.1) \):
\[
y(0.1) = y(0) + 0.1 \cdot (0^2 \cdot 1) = 1 + 0 = 1
\]
Next, calculate \( y(0.2) \):
\[
y(0.2) = y(0.1) + 0.1 \cdot (0.1^2 \cdot 1) = 1 + 0.1 \cdot (0.01) = 1 + 0.001 = 1.001
\]
Thus, the value of \( y(0.2) \) is 1.001.
Final Answer: 1.001