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FINRA Series7 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Seeks Business for the Broker-Dealer from Customers and Potential Customers | 9% | - Customer acquisition and prospecting
|
| Topic 2: Obtains and Verifies Customers' Purchase and Sale Instructions and Agreements; Processes, Completes and Confirms Transactions | 7% | - Trade execution and settlement
|
| Topic 3: Opens Accounts After Obtaining and Evaluating Customers' Financial Profile and Investment Objectives | 11% | - Customer accounts and documentation
|
| Topic 4: Provides Customers with Information About Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records | 73% | - Customer recommendations and transactions
|
FINRA General Securities Representative Examination (GS) Sample Questions:
FINRA advertising standards permit a dealer to state that a CMO has an implied AAA rating if the
securities are issued:
- A. in amounts less than $1,000,000
- B. by a private issuer who has not yet received an expected AAA rating
- C. with an average life no longer than ten years
- D. by a US government agency
Correct Answer: D 🗳️
Explanation: Only visible for PrepAwayPDF members. You can sign-up / login (it's free).
Which securities do not receive dividends?
- A. warrants
- B. ADRs
- C. preferred stock
- D. common stock
Correct Answer: A 🗳️
Explanation: Only visible for PrepAwayPDF members. You can sign-up / login (it's free).
Initial margin deposit minimum requirements are set by the:
- A. FDIC
- B. FINRA
- C. FRB
- D. NYSE
Correct Answer: C 🗳️
Explanation: Only visible for PrepAwayPDF members. You can sign-up / login (it's free).
Which of the following is not an investment company within the terms of the Investment Company Act of
1 940?
- A. a unit investment trust company
- B. a holding company dealing in mineral leaseholds
- C. a management company
- D. a face-amount certificate company
Correct Answer: B 🗳️
Explanation: Only visible for PrepAwayPDF members. You can sign-up / login (it's free).
Which of the following is considered a firm quotation in the over-the-counter market?
- A. both B and C
- B. 27.50
- C. 27.50 subject
- D. 27.50 workout
Correct Answer: B 🗳️
Explanation: Only visible for PrepAwayPDF members. You can sign-up / login (it's free).
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