FINRA Series 7 Exam Practice Test 17

1. Mutual fund account statements must be sent out at least

2. Which of the following securities are subject to systematic risk?

I. common stock

II. preferred stock

III. municipal bonds

3. Secured bonds include

I. equipment trusts

II. income bonds

III. mortgage bonds

IV. debentures

4. This type of municipal fund security is also know as a qualified tuition plan.

5. An investor with no other position in XYZ writes 1 XYZ Aug 30 put at 2.75. If the put option is exercised when XYZ is trading at 27.50 and the investor immediately sells the stock in the market, what is their gain or loss?

6. Mrs. Smith purchases 100 shares of ABC at 35 and writes a 40 call at 5.50. If ABC stock increases to 60 and the call is exercised, Mrs. Smith has a

7. Which of the following are factors that affect the marketability of municipal GO bonds?

I. The quality

II. Call features

III. The issuer's name

IV. Credit enhancements

8. If a customer wants to open a new account but refuses to provide some of the financial information requested by the member firm, which of the following statements is TRUE?

9. Mr. Mayvis has a margin account with a current market value of $20,250 and a debit balance of $3,000 with Regulation T at 50 percent. How much excess equity does the investor have in the account?

10. Which of the following is included in a preliminary prospectus?

I. The purpose for the funds being raised

II. Financial statements

III. A written statement in red citing that the prospectus may be amended and a final prospectus issued

IV. The final offering price

11. Which of the following is true of accredited investors?

12. A DMM acts as a

13. The maximum potential gain for a long combination is

14. The SEC and FINRA require customer statements to be sent out for inactive accounts at least

15. Which of the following securities is traded on an exchange and is an entity that makes mortgage loans to developers and has a portfolio of properties?

All content of site and practice tests © 2022 Jack.
Quick View

FINRA Practice Tests