You are planning to purchase a new car at $44,000 and you already saved $4,000 for the down payment and will apply for a car loan to finance the rest of the purchase price. Your bank offers a loan with monthly payments at 4% APR with a term of 36 months. Alternatively, a credit union has a promotional APR of 3% for new customers with a loan term of 48 months.

Build amortization tables of both loan alternatives and calculate total interest paid in each loan.

Calculate Effective Annual Rate (EAR) for each loan.