Simple Interest:
I = P x r x t
I = 8000 x 0.15 x 2
I = 2400
Compound Interest:
A = P(e^rt)
where e is the Euclid’s constant
and A is the total amount with interest
A = 8000(e^0.15(2))
A = 10799 (rounded up)
Therefore compound interest is 2799.
The difference:
compound - simple = 2799 - 2400
Answer is rs 399.
