Answer: 12.5%.

The holding period return (HPR) is calculated as follows: \[\text{HPR} = (P_t - P_{t-1} + D_t) / P_{t-1}\] where: \(P_t = \) price per share at the end of time period \(t\) \(D_t = \) cash distributions received during time period \(t\). Here, HPR = \((850 - 800 + 50) / 800 = 0.125\), or **12.50%**. Since the holding period is exactly one year, the annualized return is the same as the holding period return: 12.5%.

Author: LeetQuiz Editorial Team