Answer :

SI = 4, 000 * 8/100 * 2 = Rs 640
CI = 4, 000 (1 + 8/100)^2 - 4, 000 = Rs 665.60 
Difference = Rs 15.60 

Simple interest  = 4, 000 * 8/100 * 2
= Rs 640
Compound interest = 4, 000 (1 + 8/100)² - 4, 000 
= Rs 665.60 

Difference between the SI and CI = 665.60 -  640
 =Rs 15.60

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