18. General Bank wants to raise S1.0 million using three-month commercial paper. The net proceeds to the bank will be $985,000. What is the EAR of this financing for General Bank? a. b. c. d. 1.52% 19.84% 3.06% 6.23% 19. You have been offered the following gift options from your parents upon graduation: $10,000 today $15,000 in 2 years $20,000 in 3 years $22,000 in 5 years If your discount rate is 6% per year, which option would you choose? a. b. c. d. $10,000 today $15,000 in 2 years $20,000 in 3 years $22,000 in 5 years 20. What is the EAR for a 1 month loan of $50,000 with a 2% loan origination fee which carries an interest rate of 12%? a. b. . 3.690 12% 43.6%