Question: You need to borrow $12,000 to pay your tuition plus room and board. One bank offers to loan you the money for 10 years at

You need to borrow $12,000 to pay your tuition plus room and board. One bank offers to loan you the money for 10 years at 5.0 percent interest compounded annually. Another bank offers you the loan at 4.75 percent interest compounded monthly. Which bank has the better deal?

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