FINRA Security Industry Essentials Practice Test 35

1. Rule 145 covers which of the following?

2. The city of Chicago is seeking to raise $100 million through the sale of general obligation bonds and is seeking an underwriter for the issue. Which of the following is correct?

3. Which of the following subjects the investor to unlimited risk?

4. Which of the following are bearish?

I. Put seller.

II. Call seller.

III. Put buyer.

IV. Call buyer.

5. A mutual fund has been seeking to attract new customers to invest in its growth fund. They have been running an advertising campaign that markets them as a diversified mutual fund. How much of any one company may they own?

6. A no-load mutual fund may charge a 12B-1 fee that is:

7. An investor has deposited $100,000 into a qualified retirement account over a 10-year period. The value of the account has grown to $175,000 and the investor plans to retire and take a lump sum withdrawal. The investor will pay:

8. A customer calls in asking about how to put money aside for his children. He wants to open a custodial account for his two children, Bobby and Sue. What should you recommend?

9. An investor gets advance notice of a research report being issued and enters an order to purchase the security that is the subject of the research report. This is known as:

10. Which of the following is true?

11. As it relates to a member firm conducting business with the public, all of the following are violations, except:

12. At a member firm, which of the following must be registered?

13. According to Rule 135, as it relates to generic advertising, which of the following is NOT true?

14. A FINRA member has failed to receive a stock certificate in good form from the selling FINRA firm. Which FINRA bylaw defines good delivery?

15. An investor who may lose part or all of his investment is subject to which of the following?