What is the difference between compound interest and simple interest for 2 yr on the sum of ₹ 1250 at 4% pa?

Given, P = ₹ 1250, n = 2 yr and R = 4%
According to the formula,
Difference between compound interest and simple interest = PR²/100²
∴ Required difference = (1250 x 4 x 4)/(100 x 100) = ₹ 2