"An officer of MNO Corporation wishes to sell stock under Rule 144. MNO has 50,000,000 shares outstanding. The previous weeks' trading volumes are:"

On November 23rd, an officer of MNO Corporation wishes to sell stock under Rule 144. MNO has 50,000,000 shares outstanding. The previous weeks' trading volumes are:

Week Ending Volume

Nov 21 : 500,000 shares

Nov 14 : 525,000 shares

Nov 7 : 485,000 shares

Oct 31 : 450,000 shares

Oct 24 : 400,000 shares

If the Form 144 is filed today, the maximum sale is:

500,000 shares

Explanation:

Given that: according to rule 144, which enables the sale of the greater of 1% of the outstanding shares or the weekly average of the preceding 4 weeks trading volume every 90 days.

Then, we have 1% of 50,000,000 shares = 500,000 shares. The last 4 weeks' trading volumes are:

500,000 shares

525,000 shares

485,000 shares

450,000 shares

1,960,000 shares / 4 weeks = 490,000 share average

Therefore, the greater amount is 1% of outstanding shares, which is 500,000 shares.

24 years, i believe is the correct answer.