portfolio text page 515 No.12 answer not accurate

CFA Level II
#1

Hi, text vol6 portfolio management. page 515, question No.12 answer is not ok, the return is not 5.25-2.75, it will be (1-0.0275)*1.0525-1

#2

any idea?

#3

5.25-2.75 = 2.5% 1.0525*0.9725 - 1 = 2.36% this is a shortcut… numbers are pretty close