3. On November 20, 2003, you short sold 5,000 shares of Home Depot at the price of $35 per share. The initial margin requirement is 60% and the maintenance margin is 30%. You can invest your short sale proceeds and cash collateral at 1% per year. The annual interest on the loan you receive from your broker is also 1%. a) To what price must Home Depot climb for you to receive a margin call. (Assume for this part that no interest expense accrued on your loan and no interest on your reinvestment of short sale proceeds and cash)? b) Assume you closed your account after one quarter, on February 20, 2004 when each Home Depot share was being traded at $37. What was the return on your investment? (Don't forget to consider the 3-month interest on your loan and on your short sale proceeds and cash) 3. On November 20, 2003, you short sold 5,000 shares of Home Depot at the price of $35 per share. The initial margin requirement is 60% and the maintenance margin is 30%. You can invest your short sale proceeds and cash collateral at 1% per year. The annual interest on the loan you receive from your broker is also 1%. a) To what price must Home Depot climb for you to receive a margin call. (Assume for this part that no interest expense accrued on your loan and no interest on your reinvestment of short sale proceeds and cash)? b) Assume you closed your account after one quarter, on February 20, 2004 when each Home Depot share was being traded at $37. What was the return on your investment? (Don't forget to consider the 3-month interest on your loan and on your short sale proceeds and cash)