Two Years Ago You Bought 100 Shares of Big Bubba

Two years ago you bought 100 shares of Big Bubba convertible preferred stock at $25 per share.The preferred stock had an annual dividend of $2.125 per share, and a total of $3.19 in dividends per share have been paid so far.Today the company announced that the stock is redeemable for $26.70 plus accrued and unpaid dividends, for a total of $27.76.Alternatively, holders may convert their shares of preferred stock at a conversion rate of 1.6393 shares of Big Bubba common stock for each share of preferred stock.If the closing price of Big Bubba common stock is $27.50, what is your holding period return?

A) 93.08%
B) 23.80%
C) 80.32%
D) 64.60%