Which of the Following Is True Regarding Guaranteed Investment Certificates

question 97

Multiple Choice

Which of the following is true regarding guaranteed investment certificates (GICs) ?

• A)The longer the term, the lower the interest rate paid.
• B)All banks offer the same rates on GICs.
• C)Early withdrawals of money are not subject to a penalty.
• D)The investment of large amounts will pay higher interest than lower amounts.

Understand the concept of opportunity cost and how it applies to various decision-making scenarios.

Grasp the principle of marginal analysis and its application in everyday choices.

Recognize that opportunity costs involve both monetary and non-monetary factors.

Identify how opportunity costs influence government and individual spending decisions.

---

Definitions:

Ford Motor Company

An American multinational automaker founded by Henry Ford, known for revolutionizing the automobile industry with its assembly line production method.

Homogeneous Oligopoly

A market structure in which a few companies sell products that are identical or very similar.

Interproduct Competition

Refers to the competition between different products that serve as substitutes for each other, catering to the same customer needs but perhaps with different characteristics or price points.

Industrial Alcohol

Alcohol produced for use in industrial applications, such as solvents, fuel, and raw materials for chemical synthesis, rather than for consumption.