Which laptop is better for $400?

One of those is less than 12" in she other is 14" in size.
BETTER FOR WHAT PURPOSE!
If you think big and heavy is better, then the bigger one.
If you think small and light is better, then the small one.
If you want lots of monitor space to be able to see a movie or a spreadsheet or a project plan or a document, then the bigger one.
One has lots of disk space, the other doesn't. Do you want lots of disk space to store lots of things? Or are you a tidy person and don't want to file away a whole load of rubbish, in which case the smaller one.

WHAT is it that YOU want - that is the way to define "better".

2nd one has bigger screen and hard drive

Both will have issues.

The second one, no comparison.