Your broker's initial margin requirement is 65%, the maintenance margin requirement is 35%, and the broker call rate is 2.5% per year. If you buy 300 shares of stock on margin at $42.12 per share and close your position four months later at $38.94 per share, what is your holding period return? 1)-9.31% 2) 12.56% 3) -10.28% 4) 10.65% 5) -12.06%