SIE Finra Test Questions and Answers Rated A
The redemption value of an open-ended Under FINRA rules, which of the following
investment company's shares is based on the: - activities by a registered representative require
ANSWER -Net assest value computed written notification to her firm? - ANSWER -
afdter the order is recieved Driving part time for a transportation network
company on weekends
An associated person who is not a registered
representative is permitted to engage in which of Which of the following investment risks is the
the following activities? - ANSWER - greatest risk in a variable life insurance policy? -
Provide account opening forms to a new ANSWER -Market risk
customer
Which of the following products is adversely
A decline in the gross domestic product (GDP) impacted if the issuer's credit rating is
must last for at least how many quarters to be downgraded? - ANSWER -Exchange-
considered a recession? - ANSWER -2 traded notes (ETNs)
quarters
Which of the following forms U4 reportable
When is interest on Treasury notes paid? - events results in a statutory disqualification? -
ANSWER -Semiannually ANSWER -A felony conviction for a driving
under the influence (DUI) charge
Which of the following communications with the
public is considered misleading? - In the event of a stock split, which of the following
ANSWER -Literature providing 10-year parties is required to maintain a record of the
performance information to support predictions of shareholders eligible to receive the additional
future performance shares? - ANSWER -Transfer agent
Which of the following stakeholders has first A firm is a participant in a public offering. To sell
claim priority in a chapter 11 proceeding? - a substantial amount of the securities to its
ANSWER -Secured debt holders customers, the firm agrees to repurchase the
shares at no less than the original sales price.
Such agreements are: - ANSWER -
The last transaction in xyz 5.50s 2030 was at Prohibited as fraudulent and manipulative
102. This bond is selling at: - ANSWER -A
premium
At the time of issuance, which of the following
securities normally has the longest period to
All of the following risks apply to both foreign and expiration? - ANSWER -Warrants
domestic debt instruments except: -
ANSWER -Exchange
The call provision of a bond stipulates which of
the following factors? - ANSWER -Call date
1/6
, SIE Finra Test Questions and Answers Rated A
and call price following portfolio:
-30% ABC Energy Company
A customer buys 1 abc Jan 35 put for a premium -30% XYX Health Care Company
of $3 and simultaneously buys 100 shares of abc -30%d Exchange-traded fund (tracks the S&P
stock for $35 per share. The customer will break 500)
even when the stock is selling at what price per -10% Money market funds
share at expiration? - ANSWER -$38
Which of the following risks is inherent in this
portfolio? - ANSWER -Nonsystematic
FinCEN accomplishes its mission to safeguard
the financial system from the abuses of financial
crime, including terrorist financing and money A married couple who earned income that
laundering, by enforcing: - ANSWER -The exceeded $300,000 in each of the prior two years
Bank Secrecy Act and reasonably expects the same for the current
year is: - ANSWER -An accredited investor
Under SEC regulation S-P (consumer privacy),
which of the following information must a firm Under a system of statutory voting, a common
include in its customer privacy and opt-out stockholder has as many votes for each vacancy
notices? - ANSWER -The policies to on the board of directors as the number of: -
protect the security of nonpublic information ANSWER -Shares owned by the
stockholder
In which of the following situations is an
employee of a public company permitted to trade Under Federal Reserve Regulation T, a 90 day
upon information without violating insider trading restriction is imposed when a customer opens
laws? - ANSWER -An independent and closes which of the following positions? -
securities analyst explians to the employee why ANSWER -The same stock in a cash
the earnings for the company next quarter could account without paying for the stock in full
be markedly poorer than expected
In the over-the-counter market, the term "spread"
Which of the following statements is true referees to the difference between the: -
regarding the concept of an annuity contract? - ANSWER -Bid and asked prices
ANSWER -The kind of annuity selected
partlyt determines the payment amounts to the
annuitant. Direct participation programs (Dpps) provide: -
ANSWER -Exposure to non-correlated
assets with steady returns
Blue-sky laws are regulated by which of the
following entities? - ANSWER -State-
securities regulators A savings account at a bank is guaranteed by
which of the following entities? - ANSWER -
FDIC
A registered representative is reviewing the
2/6
The redemption value of an open-ended Under FINRA rules, which of the following
investment company's shares is based on the: - activities by a registered representative require
ANSWER -Net assest value computed written notification to her firm? - ANSWER -
afdter the order is recieved Driving part time for a transportation network
company on weekends
An associated person who is not a registered
representative is permitted to engage in which of Which of the following investment risks is the
the following activities? - ANSWER - greatest risk in a variable life insurance policy? -
Provide account opening forms to a new ANSWER -Market risk
customer
Which of the following products is adversely
A decline in the gross domestic product (GDP) impacted if the issuer's credit rating is
must last for at least how many quarters to be downgraded? - ANSWER -Exchange-
considered a recession? - ANSWER -2 traded notes (ETNs)
quarters
Which of the following forms U4 reportable
When is interest on Treasury notes paid? - events results in a statutory disqualification? -
ANSWER -Semiannually ANSWER -A felony conviction for a driving
under the influence (DUI) charge
Which of the following communications with the
public is considered misleading? - In the event of a stock split, which of the following
ANSWER -Literature providing 10-year parties is required to maintain a record of the
performance information to support predictions of shareholders eligible to receive the additional
future performance shares? - ANSWER -Transfer agent
Which of the following stakeholders has first A firm is a participant in a public offering. To sell
claim priority in a chapter 11 proceeding? - a substantial amount of the securities to its
ANSWER -Secured debt holders customers, the firm agrees to repurchase the
shares at no less than the original sales price.
Such agreements are: - ANSWER -
The last transaction in xyz 5.50s 2030 was at Prohibited as fraudulent and manipulative
102. This bond is selling at: - ANSWER -A
premium
At the time of issuance, which of the following
securities normally has the longest period to
All of the following risks apply to both foreign and expiration? - ANSWER -Warrants
domestic debt instruments except: -
ANSWER -Exchange
The call provision of a bond stipulates which of
the following factors? - ANSWER -Call date
1/6
, SIE Finra Test Questions and Answers Rated A
and call price following portfolio:
-30% ABC Energy Company
A customer buys 1 abc Jan 35 put for a premium -30% XYX Health Care Company
of $3 and simultaneously buys 100 shares of abc -30%d Exchange-traded fund (tracks the S&P
stock for $35 per share. The customer will break 500)
even when the stock is selling at what price per -10% Money market funds
share at expiration? - ANSWER -$38
Which of the following risks is inherent in this
portfolio? - ANSWER -Nonsystematic
FinCEN accomplishes its mission to safeguard
the financial system from the abuses of financial
crime, including terrorist financing and money A married couple who earned income that
laundering, by enforcing: - ANSWER -The exceeded $300,000 in each of the prior two years
Bank Secrecy Act and reasonably expects the same for the current
year is: - ANSWER -An accredited investor
Under SEC regulation S-P (consumer privacy),
which of the following information must a firm Under a system of statutory voting, a common
include in its customer privacy and opt-out stockholder has as many votes for each vacancy
notices? - ANSWER -The policies to on the board of directors as the number of: -
protect the security of nonpublic information ANSWER -Shares owned by the
stockholder
In which of the following situations is an
employee of a public company permitted to trade Under Federal Reserve Regulation T, a 90 day
upon information without violating insider trading restriction is imposed when a customer opens
laws? - ANSWER -An independent and closes which of the following positions? -
securities analyst explians to the employee why ANSWER -The same stock in a cash
the earnings for the company next quarter could account without paying for the stock in full
be markedly poorer than expected
In the over-the-counter market, the term "spread"
Which of the following statements is true referees to the difference between the: -
regarding the concept of an annuity contract? - ANSWER -Bid and asked prices
ANSWER -The kind of annuity selected
partlyt determines the payment amounts to the
annuitant. Direct participation programs (Dpps) provide: -
ANSWER -Exposure to non-correlated
assets with steady returns
Blue-sky laws are regulated by which of the
following entities? - ANSWER -State-
securities regulators A savings account at a bank is guaranteed by
which of the following entities? - ANSWER -
FDIC
A registered representative is reviewing the
2/6
