Question

A man takes a loan of Rs. 50,000 from a bank at a simple interest rate of 10% per annum. He immediately lends the same amount to a friend at a compound interest rate of 10% per annum, compounded annually. What is the total profit he earns at the end of 3 years?

A Rs. 1500
B Rs. 1250
C Rs. 1750
D Rs. 1550
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