Explanation:

- Simple interest is calculated using the formula: SI = P * R * T / 100, where P is the principal amount, R is the rate of interest, and T is time in years.

- A repaid a total of Rs 1,91,864 after 2 years. This includes the principal and the interest.

- Rewriting the total repayment as: Principal + SI = Rs 1,91,864.

- Let the principal be 'P.' So, the interest for 2 years at 8% = P * 8 * 2 / 100.

- The equation becomes: P + P * 8 * 2 / 100 = Rs 1,91,864.

- Simplifying, P * (1 + 0.16) = Rs 1,91,864.

- So, P = Rs 1,91,864 / 1.16 = Rs 1,65,400.

- After calculations, it’s clear: Option 2: Rs 1,65,400 is correct.