You are considering investing $$900$ in Higgs B$.$ Technology Inc. You can buy common stock at $$29\mathrm{.}03$ per share; this stock pays no dividends. You can also buy a convertible bond $($ $$1,000$ par value$)$ that is currently trading at $$900$ and has a conversion ratio of $26.$ It pays $$53$ per year in interest. If you expect the price of the stock to rise to $$42\mathrm{.}49$ per share in one year, which instrument should you purchase?

The holding period return on the purchase of the common stock would be

$\%.($Round to two decimal places.$)$M