Indu gave Bindu Rs.1250 on compound interest for 2 years at 4% per annum. How m

Question

Indu gave Bindu Rs.1250 on compound interest for 2 years at 4% per annum. How much loss would Indu has suffered had she given it to Bindu for 2 years at 4% per annum simple interest?

Options:

A . Rs.10

B . Rs.2

C . Rs.5

D . Rs.3

Answer: Option B

1250 = D(100/4)²

D = 2

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