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First National Bank (FNB) charges an APR of 14.28% compounded monthly on its business loans. First United Bank (FUB) charges an APR of 14.23% compounded

First National Bank (FNB) charges an APR of 14.28% compounded monthly on its business loans. First United Bank (FUB) charges an APR of 14.23% compounded daily on its business loans. As a potential borrower, which bank would you go to for a new loan?

a. FNB because its loan has a higher EAR than FUB

b. FNB because its loan has a lower EAR than FUB

c. FUB because its loan has a lower EAR than FNB

d. FUB because its loan has a lower APR than FNB

e. FUB because its loan has a higher EAR than FUB

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