Series 7 Exam Question 226: Answer and Explanation

Question: 226

After an options account has been approved, the customer must sign and return a(n)

• A. credit agreement
• B. OCC
• C. OAA
• D. ODD

Correct Answer: C

Explanation:

C. First, the customer must receive an ODD (Options risk Disclosure Document). Then the account must be approved by an ROP (Registered Options Principal). Next, a trade is executed. Finally, the customer signs and returns the OAA (Options Account Agreement). The OAA must be signed and returned within 15 days after approval of the account.