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FINRA Series7 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Topic 1: Job Functions Overview | - Function 3: Provides Customers with Information About Investments and Makes Suitable Recommendations
|
FINRA General Securities Representative Examination (GS) Sample Questions:
When a member firm buys or sells securities directly as principal with a public customer, it is acting as:
- A. an agent
- B. a dealer
- C. none of the above
- D. a broker
Explanation: Only visible for VCE4Plus members. You can sign-up / login (it's free).
Bubba owns 200 shares of XYZ at $90, and wishes to hedge the position while generating income. What
is the best recommendation?
- A. sell calls
- B. buy calls
- C. sell puts
- D. buy puts
Explanation: Only visible for VCE4Plus members. You can sign-up / login (it's free).
Which of the following organizations usually has a prominent role in guiding investment policies of mutual
funds?
- A. the plan company
- B. the custodian bank
- C. the underwriter
- D. the management group
Explanation: Only visible for VCE4Plus members. You can sign-up / login (it's free).
A basis point is:
- A. 1.00%
- B. 0.10%
- C. 0.01%
- D. 0.001%
Explanation: Only visible for VCE4Plus members. You can sign-up / login (it's free).
With respect to the public offering of securities by an underwriting syndicate, which of the following is
true?
- A. the reallowance is greater than the selling concession
- B. the selling concession is greater than the underwriting spread
- C. the reallowance is greater than the underwriting spread
- D. the underwriting spread is greater than the selling concession
Explanation: Only visible for VCE4Plus members. You can sign-up / login (it's free).

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