Siddharth wants to borrow Rs.8000 at rate of interest 6% p.a. at S.I and lend the same amount at C.I at same rate of interest for two years. What would be his income in the above transaction?
Pick one: A) s.28.80 B) s.21.29 C) s.22.29 D) s.21.26 E) s.21.12
Amount of money Siddharth borrowed at S.I at 6% p.a. for two years = Rs.8,000   He lend the same amount for C.I at 6% p.a. for two years.   =&gt; Siddharth's income = C.I - S.I   = p[1 + r/ 100]n - p - pnr/100   = p{ [1 + r/ 100]2 - 1 - nr/100   = 8,000{ [1 + 6/100]2 - 1 - 12/100}   = 8,000 {(1.06)2- 1 - 0.12} = 8,000(1.1236 - 1 - 0.12)   = 8,000 (0.0036) = 8 * 3.6 = Rs.28.80   s.28.80nswer: s.28.80
<result>A</result>
Siddharth wants to borrow Rs.8000 at rate of interest 6% p.a. at S.I and lend the same amount at C.I at same rate of interest for two years. What would be his income in the above transaction?