Bavarian Brewhouse IPO Bavarian Brewhouse Is Planning an IPO. Under the Terms of the Terms

Bavarian Brewhouse IPO
Bavarian Brewhouse is planning an IPO. Under the terms of the IPO, Bavarian Brewhouse will issue 8 million shares at an offer price of $25 per share. The underwriter charges an 9% underwriting fee and direct costs are estimated to be $7 million. The stock is expected to trade at $30 at the end of the first trading day.

-What is the initial return earned by investors on this Bavarian Brewhouse IPO?

A) 20%
B) 15%
C) 17%
D) 22%