Historical Return and Risk 19. You have just redeemed a zero-coupon bond that you bought 5 years ago. The purchase price of the bond wa. $77.50. i. What is the five-year holding period return (HPR) on the bond? .ii. What is the effective annual rate (EAR) on the bond? ii. You intend to make a large purchase with a credit card. You will not make any payment on the purchase for a year. Your current cards offer the following terms: A.Bank A charges a daily rate of 0.035% B. Bank B charges a weekly rate of 0.255% C. Bank C charges a monthly rate of 1.10 %. a. What is the annual percentage rate (APR) b.What is the effective annual rate (EAR) c. Given the APR in a., if the bank uses continuous compounding, what is the EAR? on each card? on each card? EAR = eAPR- 1 d. Given the EAR in b., if the bank uses continuous compounding, what is the APR? APR In[1 + EAR]