1. Home
  2. FINRA
  3. General Securities Representative
  4. Series-7
  5. Series 7 General Securities Representative Qualification Examination (GS) Questions and Answers

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

 FINRA Exams      Go to Exam Detail      Get Premium Access
Viewing page 7 out of 12 pages
Viewing questions 61-70 out of questions
Questions # 61:

FINRA advertising standards permit a dealer to state that a CMO has an implied AAA rating if the securities are issued:

Options:
A.

with an average life no longer than ten years

B.

by a US government agency

C.

by a private issuer who has not yet received an expected AAA rating

D.

in amounts less than $1,000,000

Expert Solution
Questions # 62:

Which of the following does not appear in a municipal syndicate letter to underwriters?

Options:
A.

the specific bid and offering terms of the issue

B.

the amount of each member’s participation

C.

the extent of the manager’s authority in directing the offering

D.

the duration of the syndicate account

Expert Solution
Questions # 63:

When a corporation issues a nonconvertible debenture, what is the effect upon its net worth?

Options:
A.

it increases

B.

if decreases

C.

if is unchanged

D.

none of the above

Expert Solution
Questions # 64:

Book value of a corporation is also known as:

Options:
A.

net tangible asset value per share

B.

intangible value

C.

par value

D.

dilution value

Expert Solution
Questions # 65:

Which of the following are direct obligations of the US government?

Options:
A.

Import-Export bank bonds

B.

Series EE bonds

C.

Farm Credit System bonds

D.

both B and C

Expert Solution
Questions # 66:

An advertisement for a CMO security by a member of FINRA should disclose which of the following?

Options:
A.

the exact yield investor will earn

B.

the yield based upon the prevailing discount rate

C.

that the stated yield is an estimate that may vary passed upon prepayments and market factors

D.

that the yield may be greater than the stated percentage but never less

Expert Solution
Questions # 67:

In June, Bubba bought 100 shares of XYZ at $35. In November, he bought a listed put in XYZ with a $35 strike price and a July expiration for a premium of $600.

If Bubba sells the stock at $45 in July, what is his resulting tax liability for that transaction?

Options:
A.

no liability established until the offsetting option position is closed

B.

a $400 gain

C.

a $1,000 gain

D.

a $400 capital loss

Expert Solution
Questions # 68:

Crossover is best defined as:

Options:
A.

the point at which the program becomes profitable

B.

the point at which income exceeds deductions

C.

the fact that there are more general partners than limited partners

D.

the profit of limited partners exceeding profit of general partners

Expert Solution
Questions # 69:

Under a leaseback arrangement used to finance construction of local schools, who is the issuer of the municipal bonds?

Options:
A.

the state in which the schools are located

B.

the local school district

C.

a legal authority created for this purpose

D.

a public housing authority commissioned by the federal government

Expert Solution
Questions # 70:

Which of the following may occasionally be purchased at a discount from net assets value?

Options:
A.

no-load funds

B.

closed-end funds

C.

open-end funds

D.

contractual plans

Expert Solution
Viewing page 7 out of 12 pages
Viewing questions 61-70 out of questions