## CS 1401 Introduction to Computer Science Fall 2014, Lab 4

Background. Financial gurus advise us that it is important to start saving money as early as possible. Let us use computers to help.

One way to save money is to deposit it in the saving account. This way, you add something to the amount that you deposited. The interest rate usually depends on the amount:

• below a certain threshold there is a smaller interest rate, and
• for deposits equal to or exceeding the threshold, there is a larger interest rate.

Assignment. Write a program that prompts the user to input the information about the bank:

• the threshold,
• the smaller interest rate (in percents), and
• the larger interest rate (in percents),
followed by the information about the user:
• the user's name, and
• the amount the user wants to deposit.
Your program should find out what is the effective interest rate for the amount the user deposited, how big is the increase, and what is the resulting amount of money in a year.

Example. Suppose that the threshold is \$1,000, the smaller interest rate is 0.9%, the larger interest rate is 1.5%, and you invest \$1,500. Since in this case, the amount is larger than the threshold, your effective interest rate is 1.5%. This means that in a year, you earn an additional amount of 1,500 * (1.5 / 100) = \$22.50. Thus, in a year, your deposit will be equal to \$1,500 + \$22.50 = \$1,522.50.

You should present the results of the computations in a nice and clear form, e.g., as follows:

```Report on John Johnson's saving account:
Original amount          1500.00
effective interest rate     1.5%
amount gained              22.50
current amount           1522.50
Thanks for using our bank!
```
When it is due. The program is due at the beginning of the first lab section on the week of September 29, i.e.:
• on Monday September 29 for those who attend Monday-Wednesday labs, and
• on Tuesday September 30 for those who attend Tuesday-Thursday labs.