Assume That You Purchase Shares of a Company That Recently

Assume that you purchase shares of a company that recently executed an IPO at the post-offering market price of $50 per share,and you hold the shares for one year.You then sell your shares for $52.50 per share.The company does not pay dividends,and you are not subject to capital gains taxation.What net return did you earn on your share investment?

A) 2.50%
B) 4.81%
C) 5.00%
D) 7.50%