4. Two banks offer 30-year mortgages with the following interest rates: 1. Bank 1: A nominal annual interest rate of 5.25% with 1 points and 2. Bank 2: A nominal annual interest rate of 5.00% with 2 points. Both loans are compounded on a monthly basis. Neglect the effect of taxes, and determine which bank offers the better alternative from an economic standpoint. Explain how you arrived at your answer and justify it with numerical computations. (25 pts)