Paul Has $20,000 to Invest for 6 Months

question 153

Short Answer

Paul has $20,000 to invest for 6 months. For this amount, his bank pays 1.3% on a 90-day GIC and 1.5% on a 180-day GIC. If the interest rate on a 90-day GIC is the same 3 months from now, how much more interest will Paul earn by purchasing the 180-day GIC than by buying a 90-day GIC and then reinvesting its maturity value in a second 90-day GIC?

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Getchar()

A function that reads the next available character from the standard input stream and returns it.

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A standard output function in C that writes a string to stdout followed by a newline character.

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A function in C programming used to read a line of text from a file or standard input until a newline character is encountered or the end of file is reached.

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In programming, a file containing declarations of functions, macros, and variables which can be included in multiple program files via preprocessor directives.