SIE Understanding Trading, Customer Accounts and Prohibited Activities Practice Question 67

Question: 67

Which of the following statements is true regarding the Federal Reserve Board Regulation T?

A. Short sales must be made in a cash account.

B. Margin purchases must be made in a cash account.

C. Payments are made promptly, not later than T+2, for securities purchased from a margin account.

D. Repayment of the borrowed part of a margin purchase from a cash account must be made promptly, not later than T+1.