Free SIE Exam Practice Test 45

1. The Dow Jones Industrial Average is an index comprised of __________ industrial companies.

2. Which of the following determines the minimum margin requirement for investment accounts?

3. Regarding municipal bonds, which of the following is the small amount of money, usually less than 5% of an issue, that underwriters give to the issuer in exchange for the right to place part of the issue?

4. All but which of the following are correct regarding a UGMA/UTMA account?

5. A currency transaction report (CTR) must be filed by U.S. financial institutions for each deposit, withdrawal, exchange of currency, or other payment to the institution which involves a transaction in currency of more than:

6. ____ Purchasing a call option and selling a call option on the same stock at the same time.

7. ____ Purchasing a put option and selling a call option on the same stock at the same time.

8. ____ Purchasing a put option while holding shares of the underlying stock from a previous purchase.

9. ____ Purchasing a call option and a put option on the same stock at the same time.

10. Which of the following is/are correct regarding a bond's coupon rate?

(1) The smaller a bond's coupon, the greater its relative price fluctuation.

(2) The smaller a bond's coupon, the greater its reinvestment risk.

11. Which of the following describes the difference between a 401(k) plan and a 457 plan?

12. An investor purchased a share of Kappa stock for $184 and sold it for $173. If a $4.25 dividend was paid during the holding period, what was the total return?

13. A corporate insider is defined as a director or senior officer of a company, as well as any person or entity that beneficially owns more than __________ of a company's voting shares.

14. Which of the following is the typical limit on the term of a loan from a qualified retirement plan?

15. The Securities Acts Amendments of 1975 did which of the following?