Pass the FINRA General Securities Representative Series-7 Questions and answers with CertsForce

net asset value and redemption price. Investors redeeming shares of mutual funds receive the net asset value.

riskless transactions. The markup policy applies to everything except securities sold under a prospectus, which is the case with the other choices.

the right to vote about important matters of the company. Shareholders have no expectation of stock price increase or dividends. They are entitled to receive dividends only if the board of directors declares them.

a letter of intent. This accurately describes the definition of a letter of intent.

stay the same. The SMA does not decline as the market value declines.

open-end investment companies. Open-end mutual funds are a continuous offering of new securities that are not traded on an exchange. They trade only in the over-the-counter market. The other choices may trade over-the-counter or on exchanges.

reclamation. In a reclamation a dealer requests that another dealer reclaim an improper delivery.

200. In an issue of rights, there is always one right per share. Bubba owns 200 shares and thus receives the same number of rights.

$100,000. This was a considerable amount of money in 1940.

Series EE bonds. All the other securities may be traded. Series EE bonds are purchased and held to maturity. They are not tradable.