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John needs to borrow $ 3 6 , 0 0 0 now to pay for some urgent personal expenses. He would like to pay back

John needs to borrow $36,000 now to pay for some urgent personal expenses. He would like to
pay back the loan as a single lump sum amount 4 years from now. USA Bank charges 15% per year
compounded monthly on personal loans. EU Bank charges 14% per year compounded daily on personal loans
but collects a 4%(of the original loan amount) administrative fee upfront. John requests the bank to roll the
administrative fee into the loan amount, i.e., lend him the original amount plus the administrative fee. Both
banks have agreed to a single lump sum payment at the end of four years. Which option should John choose
and why? Show all work

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