SIE Practice Exam 4

Under FINRA rules, noncash compensation connected with the sale of variable contracts induces all of the following items except:

Under normal cicumtances, a customer’s letter of intent on a mutual fund purchase is valid for what maximum period of time?

When a broker-dealer charges a commission on a securities transaction, it has acted as:

Which of the following actions violates FINRA rules regarding selling away?

Under FINRA rules, which of the following activities by a registered representative requires written notification to her firm?

A married couple who earned income that exceeded $300,000 in each of the prior two years and reasonably expects the same for the current year is:

In a period of low inflation and economic recession, which of the following actions is the Federal Reserve expected to take?

Which of the following products is adversely impacted if the issuer’s credit rating is downgraded?

Under Federal Reserve Regulation T, a 90-day restriction is imposed when a customer opens and closes which of the following positions?

Blu-sky laws are regulated by which of the following entities?

Which of the following actions is required for a broker-dealer’s anti-money laundering (AML) program?

The computation of dollar prices and accrued interest on municipal bonds is generally on what calendar basis?

A decline in the gross domestic product (GDP) must last for at least hw many quaters to be considered a recession?

2 Quaters (C)

4 Quaters

Which of the following security types provides investors with a stated maturity date, a floating interest rate, and an option to put the security back to a financial intermediary daily or weekly basis?

Company ABC announces a 20% stock dividend for its common shareholders. If a customer holds 1000 shares at $50, what is the new price and number of shares following the payment of the stock dividends:

A registered representative (RR) who wants to place a mutual fund advertisement must obtain written approval from which of the following parties?

Which of the following factors stipulates the call provision of a bond?

Call protection is most valuable to a bond owner when bond prices are generally:

A customer is an officer of a company that is involved in some significant changes. All of the following items are examples of corporate affairs that could be considered insider information if the customer shares them with his registered representative, except:

The last transaction in XYZ 5.50s 2030 at 102. This bond is selling at:

UTMA accounts are opened under the tax ID of the:

An investor owns 100 shares of XYZ common stock at the current market price of $50 per share. If XYZ conducts a 1-for-2 reverse split, the investor’s post-split stock position will be:

A transaction in which a writer covers a position by purchasing an option is called:

The owner of which of the following products is most exposed to inflationary risk?

What is the cost basis of an inherited mutual fund?