If Bhavya decides to reinvest the total interest earned from Scheme D in a new scheme offering compound interest at the rate of 12% per annum for 2 years, and Anika decides to reinvest the amount she saved (Rs. 8,000) in a scheme offering 10% simple interest per annum for 4 years, what will be the difference in the amounts received by Bhavya and Anika at the end of their respective investment periods?

Total interest earned by Bhavya from Scheme D = Rs. 58,050 Bhavya reinvests Rs. 31,252.5 at 12% compound interest for 2 years. Amount Bhavya receives after 2 years: = Rs. 58,050 × (1 + 12/100)² = Rs. 58,050 × 112/100 ×112/100 = Rs. 72,817.92 Anika reinvests Rs. 8,000 at 10% simple interest for 4 years. Interest earned by Anika: = Rs. 8,000 × 10/100 × 4 = Rs. 3,200 Total amount Anika receives after 4 years: = Rs. 8,000 + Rs. 3,200 = Rs. 11,200 Difference in amounts received by Bhavya and Anika: = Rs. 72,817.92 - Rs. 11,200 = Rs. 61,617.92 Answer: e) Rs. 61,618