A market-maker has purchased a particular stock over a period of time for prices as high as $9 per share and as low as $3 per share. The average cost is approximately $6 per share. The current NASDAQ quote for the stock is 5 to 5.25. According to the FINRA Conduct Rules, the dealer’s offering price to the public should be based upon:

Question

Answer: A - the current market for the stock. FINRA rules require the markup to be based upon the current market price.

Ted Chan · Accepted Answer

the current market for the stock

FINRA Series 7