Shiva invested Rs. 2000 on simple interest and compound interest on a certain day. If the rate of interest is 6%, what will be the difference between simple and compound interest for a period of 3 years?

Correct option is D

Given
Principal (P) = Rs. 2000
Rate (R) = 6 %
Time (T) = 3 years

Formula Used
Difference (3 years) = $$P \left(\frac{R}{100}\right)^2 \left(3 + \frac{R}{100}\right)$$​​

Solution

Approximately Rs. 22

Final Answer
So the correct answer is (d)