You want to take out a loan for a car. Initially you are presented with a 4-year loan that has a $350 monthly payment. Another bank presents you with a 5-year loan that has the same interest rate as the 4-year loan
a. How would the monthly payment of the new 5-year loan compare to the monthly payment of the 4 year loan?
b. How would the total interest paid of the new 5-year loan compare to the total interest paid of the 4 year loan?