So it is given to find $$\lim_{n\to \infty}\dfrac{(n+1)^{2n}}{(n^2+1)^n}$$
So what I did is
$$\lim_{n\to \infty}\dfrac{(n+1)^{2n}}{(n^2+1)^n}=\lim_{n\to \infty}\dfrac{(n^2+2n+1)^{n}}{(n^2+1)^n}=\lim_{n\to \infty}\left(1+\frac{2n}{n^2+1}\right)^n$$
Now the rightmost form, is it $e^2$? I mean I am unable convince myself that it is some form of exponential function. Help me out.
Your guess is right.
We have $$ 1+\frac{2n}{n^2+1} \le 1+\frac{2n}{n^2} = 1+\frac{2}{n} $$ and so $$ \left(1+\frac{2n}{n^2+1}\right)^n \le \left(1+\frac{2}{n}\right)^n \to e^2 $$
On the other hand, $$ 1+\frac{2n}{n^2+1} \ge 1+\frac{2n}{n^2+n} = 1+\frac{2}{n+1} $$ and so $$ \left(1+\frac{2n}{n^2+1}\right)^n \ge \left(1+\frac{2}{n+1}\right)^n = \frac{\left(1+\frac{2}{n+1}\right)^{n+1}}{\left(1+\frac{2}{n+1}\right)^{\hphantom{n+1}}} \to \frac{e^2}{1} = e^2 $$