FINRA SIE Practice Test
Questions and Answers
Updated 2026
UponBExpiration,BallBin-the-
moneyBS&PB100BIndexBcallBoptionsBareBsettledBbyBtheBdeliveryBofBwhichBofBtheBfollo
wing?B-BAnswerCash
WhichBofBtheBfollowingBstatementsBisBtrueBaboutBtreasuryBstock?B-
BAnswerItBisBissuedBstockBthatBhasBbeenBsubsequentlyBreacquiredBbyBtheBcorporation
InBtheBeventBofBaBstockBsplit,BwhichBofBtheBfollowingBpartiesBisBrequiredBtoBmaintainB
aBrecordBofBtheBshareholdersBeligibleBtoBreceiveBtheBadditionalBshares?B-
BAnswerTransferBAgent
WhichBofBtheBfollowingBactionsBisBrequiredBofBaBbroker-dealer'sBanti-
moneyBlaunderingB(AML)Bprogram?B-BAnswerDesignatingBanBAMLBcomplianceBofficer
ABregisteredBrepresentativeB(RR)BwantsBtoBparticipateBinBaBprivateBsecuritiesBtransactio
n.BWhichBofBtheBfollowingBactionsBmustBtheBRRBtake?B-
BAnswerSendBwrittenBnoticeBtoBhisBsupervisorBoutliningBtheBactivityBandBcompensation
Bstructure
ABcustomerBBUYSBaB1BABCBJanB35BPUTBforBaBpremiumBofB$3BandBsimultaneouslyBbuy
sB100BsharesBofBABCBstockBforB$35BperBshare.BTheBcustomerBwillBbreakBevenBwhenBt
heBstockBisBsellingBatBwhatBpriceBperBshareBatBexpiration?B-BAnswer$38
TheBcallBprovisionBofBaBbondBstipulatesBwhichBofBtheBfollowingBfactors?B-
BAnswerCallBdateBandBcallBprice
WhenBisBinterestBonBTreasuryBnotesBpaid?B-BAnswerSemiannually
, TheBownerBofBwhichBofBtheBfollowingBproductsBisBMOSTBexposedBtoBinflationaryBrisk?
B-BAnswerTreasuryBbondsB(becauseBit'sBlong-term)
ABregisteredBrepresentativeB(RR)BwhoBwantsBtoBplaceBaBmutualBfundBadvertisementBm
ustBobtainBwrittenBapprovalBfromBwhichBofBtheBfollowingBparties?B-
BAnswerABregisteredBprincipalBofBtheBRR'sBfirm
ABcompanyBannouncesBaBtenderBofferBtoBitsBshareholdersBwithBtheBintentBtoBbuyBaBm
aximumBofB1BmillionBsharesBofBitsBoutstandingBstockBatB$10BperBshareBandBsetsBnoB
minimumBnumberBofBsharesBtoBbeBpurchased.BAnBinvestorBwantsBtoBparticipateBinBthi
sBofferBandBtendersBhisB1,000BshareBposition.BAtBtheBcloseBofBtheBofferBperiod,BonlyB
900,000BsharesBhaveBbeenBtendered.BHowBmany,BifBany,BofBtheBinvestor'sBsharesBwillB
theBcompanyBpurchase?B-BAnswer1,000B(1,000BxB100B=B100,000Bshares;B1BmillionB-
B900kB=B100k)
Broker-
dealerBABCBseeksBtoBunderwriteBaBmunicipalBsecuritiesBofferingBbyBaBlocalBtownBinBw
hichBtheBmayorBisBcurrentlyBseekingBre-
election.BABmunicipalBfinanceBprofessionalBwhoBresidesBinBtheBtownBandBworksBforBAB
CBcontributedB$200BtoBtheBmayor'sBre-
electionBcampaignB13BmonthsBago.BIfBtheBemployeeBwantsBtoBsupportBtheBcampaignBf
urtherBwithoutBimpactingBtheBmunicipalBsecuritiesBbusinessBofBtheBfirm,BheBisBpermitt
edBtoBmakeBanBadditionalBcontributionBofBupBtoBwhatBamount?B-
BAnswer$50B($250BisBtheBlimitBPERBelection)
WhichBofBtheBfollowingBstakeholdersBhasBfirstBclaimBpriorityBinBaBChapterB11Bproceedi
ng?B-BAnswerSecuredBdebtBholders
[OrderBofBliquidationBatBbankruptcy:
1.BUnpaidBwages
2.BTaxesB(IRS)
3.BSecuredBclaimsB(mortgages)
4.BSecuredBliabilitiesB(bonds)
Questions and Answers
Updated 2026
UponBExpiration,BallBin-the-
moneyBS&PB100BIndexBcallBoptionsBareBsettledBbyBtheBdeliveryBofBwhichBofBtheBfollo
wing?B-BAnswerCash
WhichBofBtheBfollowingBstatementsBisBtrueBaboutBtreasuryBstock?B-
BAnswerItBisBissuedBstockBthatBhasBbeenBsubsequentlyBreacquiredBbyBtheBcorporation
InBtheBeventBofBaBstockBsplit,BwhichBofBtheBfollowingBpartiesBisBrequiredBtoBmaintainB
aBrecordBofBtheBshareholdersBeligibleBtoBreceiveBtheBadditionalBshares?B-
BAnswerTransferBAgent
WhichBofBtheBfollowingBactionsBisBrequiredBofBaBbroker-dealer'sBanti-
moneyBlaunderingB(AML)Bprogram?B-BAnswerDesignatingBanBAMLBcomplianceBofficer
ABregisteredBrepresentativeB(RR)BwantsBtoBparticipateBinBaBprivateBsecuritiesBtransactio
n.BWhichBofBtheBfollowingBactionsBmustBtheBRRBtake?B-
BAnswerSendBwrittenBnoticeBtoBhisBsupervisorBoutliningBtheBactivityBandBcompensation
Bstructure
ABcustomerBBUYSBaB1BABCBJanB35BPUTBforBaBpremiumBofB$3BandBsimultaneouslyBbuy
sB100BsharesBofBABCBstockBforB$35BperBshare.BTheBcustomerBwillBbreakBevenBwhenBt
heBstockBisBsellingBatBwhatBpriceBperBshareBatBexpiration?B-BAnswer$38
TheBcallBprovisionBofBaBbondBstipulatesBwhichBofBtheBfollowingBfactors?B-
BAnswerCallBdateBandBcallBprice
WhenBisBinterestBonBTreasuryBnotesBpaid?B-BAnswerSemiannually
, TheBownerBofBwhichBofBtheBfollowingBproductsBisBMOSTBexposedBtoBinflationaryBrisk?
B-BAnswerTreasuryBbondsB(becauseBit'sBlong-term)
ABregisteredBrepresentativeB(RR)BwhoBwantsBtoBplaceBaBmutualBfundBadvertisementBm
ustBobtainBwrittenBapprovalBfromBwhichBofBtheBfollowingBparties?B-
BAnswerABregisteredBprincipalBofBtheBRR'sBfirm
ABcompanyBannouncesBaBtenderBofferBtoBitsBshareholdersBwithBtheBintentBtoBbuyBaBm
aximumBofB1BmillionBsharesBofBitsBoutstandingBstockBatB$10BperBshareBandBsetsBnoB
minimumBnumberBofBsharesBtoBbeBpurchased.BAnBinvestorBwantsBtoBparticipateBinBthi
sBofferBandBtendersBhisB1,000BshareBposition.BAtBtheBcloseBofBtheBofferBperiod,BonlyB
900,000BsharesBhaveBbeenBtendered.BHowBmany,BifBany,BofBtheBinvestor'sBsharesBwillB
theBcompanyBpurchase?B-BAnswer1,000B(1,000BxB100B=B100,000Bshares;B1BmillionB-
B900kB=B100k)
Broker-
dealerBABCBseeksBtoBunderwriteBaBmunicipalBsecuritiesBofferingBbyBaBlocalBtownBinBw
hichBtheBmayorBisBcurrentlyBseekingBre-
election.BABmunicipalBfinanceBprofessionalBwhoBresidesBinBtheBtownBandBworksBforBAB
CBcontributedB$200BtoBtheBmayor'sBre-
electionBcampaignB13BmonthsBago.BIfBtheBemployeeBwantsBtoBsupportBtheBcampaignBf
urtherBwithoutBimpactingBtheBmunicipalBsecuritiesBbusinessBofBtheBfirm,BheBisBpermitt
edBtoBmakeBanBadditionalBcontributionBofBupBtoBwhatBamount?B-
BAnswer$50B($250BisBtheBlimitBPERBelection)
WhichBofBtheBfollowingBstakeholdersBhasBfirstBclaimBpriorityBinBaBChapterB11Bproceedi
ng?B-BAnswerSecuredBdebtBholders
[OrderBofBliquidationBatBbankruptcy:
1.BUnpaidBwages
2.BTaxesB(IRS)
3.BSecuredBclaimsB(mortgages)
4.BSecuredBliabilitiesB(bonds)
