TITLE: EMILLYCHARLOTTE 2024/2025 ACADEMIC PERIOD
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
Series 6 Exam Study Guide with
Complete Solutions
On the 2-year anniversary of their registration and every 3 years thereafter. -
Answer✔️✔️-When must RRs complete the Regulatory Element of Continuing
Education?
True - Answer✔️✔️-True or False: Firm Element Continuing Education requires BDs to
update employees on job and product-related subjects.
U4 - Answer✔️✔️-To apply for a securities license, one must file Form _____ with FINRA.
Action (buy/sell), Amount (quantity), and Asset (security) - Answer✔️✔️-What three items
must be specified on a not held order
A not held order will be considered a day order. - Answer✔️✔️-For how long may a not
held order be maintained?
The Trust Indenture Act of 1939 regulates corporate bond offerings (NOT municipal or
government offerings). - Answer✔️✔️-The Trust Indenture Act of 1939 regulates
________________ offerings.
state and local tax. - Answer✔️✔️-Though subject to federal tax, interest on Treasuries is
exempt from ________ and ________ tax.
1/27
,TITLE: EMILLYCHARLOTTE 2024/2025 ACADEMIC PERIOD
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
True. The interest is taxed at the federal, state, and local level. - Answer✔️✔️-True or
False: Interest paid on GNMA, FNMA, FHLMC, and SLMA agency bonds is fully taxable
to investors.
new issues. - Answer✔️✔️-The Securities Act of 1933 regulates _____________.
Provide investors with full and fair disclosure regarding new issues (prospectus) -
Answer✔️✔️-What is the primary purpose of the Securities Act of 1933?
False - Answer✔️✔️-True or False: The SEC judges an offering's investment merit and
provides approval.
Government/municipal bonds, commercial paper, bankers' acceptances, bank issues,
non-profit and small business issues - Answer✔️✔️-List the securities that are exempt
from registration.
anti-fraud - Answer✔️✔️-Though some securities are exempt from registration, nothing is
exempt from the ____________ provisions of the Act.
35 is the maximum number of non-accredited investors allowed in a Private Placement.
- Answer✔️✔️-____ is the maximum number of non-accredited investors allowed in a
Private Placement.
Yes, so potential purchasers can provide indications of interest. - Answer✔️✔️-May a
preliminary prospectus (red herring) be sent during the cooling-off period?
non-binding - Answer✔️✔️-Indications of interest are _______________ on both the
customer and BD.
2/27
, TITLE: EMILLYCHARLOTTE 2024/2025 ACADEMIC PERIOD
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
Return the check to the customer - Answer✔️✔️-What should an RR do if a client sends a
check to purchase securities going through the cooling-off period?
True - Answer✔️✔️-True or False: If a registration statement has not been filed with the
SEC, BDs may not discuss new issue information.
final offering price - Answer✔️✔️-The ____________________ will not appear in a red
herring.
Blue-Sky Laws - Answer✔️✔️-What rules govern the registration of an issue in any state
in which it will be offered?
true - Answer✔️✔️-True or False: Blue-Sky Laws apply to broker-dealers and agents
operating within a state.
the syndicate. - Answer✔️✔️-In a firm commitment underwriting, unsold securities are
retained by ________________.
the issuer - Answer✔️✔️-In a best-efforts underwriting, unsold securities are retained by
______________.
All-or-None - Answer✔️✔️-What type of underwriting is cancelled if the entire issue is not
sold?
Mini-max - Answer✔️✔️-What type of underwriting is cancelled if a specified portion is not
sold?
Stand-by - Answer✔️✔️-A ___________ underwriting is used for shares not purchased
through a rights offering.
3/27
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
Series 6 Exam Study Guide with
Complete Solutions
On the 2-year anniversary of their registration and every 3 years thereafter. -
Answer✔️✔️-When must RRs complete the Regulatory Element of Continuing
Education?
True - Answer✔️✔️-True or False: Firm Element Continuing Education requires BDs to
update employees on job and product-related subjects.
U4 - Answer✔️✔️-To apply for a securities license, one must file Form _____ with FINRA.
Action (buy/sell), Amount (quantity), and Asset (security) - Answer✔️✔️-What three items
must be specified on a not held order
A not held order will be considered a day order. - Answer✔️✔️-For how long may a not
held order be maintained?
The Trust Indenture Act of 1939 regulates corporate bond offerings (NOT municipal or
government offerings). - Answer✔️✔️-The Trust Indenture Act of 1939 regulates
________________ offerings.
state and local tax. - Answer✔️✔️-Though subject to federal tax, interest on Treasuries is
exempt from ________ and ________ tax.
1/27
,TITLE: EMILLYCHARLOTTE 2024/2025 ACADEMIC PERIOD
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
True. The interest is taxed at the federal, state, and local level. - Answer✔️✔️-True or
False: Interest paid on GNMA, FNMA, FHLMC, and SLMA agency bonds is fully taxable
to investors.
new issues. - Answer✔️✔️-The Securities Act of 1933 regulates _____________.
Provide investors with full and fair disclosure regarding new issues (prospectus) -
Answer✔️✔️-What is the primary purpose of the Securities Act of 1933?
False - Answer✔️✔️-True or False: The SEC judges an offering's investment merit and
provides approval.
Government/municipal bonds, commercial paper, bankers' acceptances, bank issues,
non-profit and small business issues - Answer✔️✔️-List the securities that are exempt
from registration.
anti-fraud - Answer✔️✔️-Though some securities are exempt from registration, nothing is
exempt from the ____________ provisions of the Act.
35 is the maximum number of non-accredited investors allowed in a Private Placement.
- Answer✔️✔️-____ is the maximum number of non-accredited investors allowed in a
Private Placement.
Yes, so potential purchasers can provide indications of interest. - Answer✔️✔️-May a
preliminary prospectus (red herring) be sent during the cooling-off period?
non-binding - Answer✔️✔️-Indications of interest are _______________ on both the
customer and BD.
2/27
, TITLE: EMILLYCHARLOTTE 2024/2025 ACADEMIC PERIOD
OWNER: EMILLYCHARLOTTE
COPYRIGHT STATEMENT: ©2024 EMILLYCHARLOTTE. ALL RIGHTS RESERVED
FIRST PUBLISHED: SEPTEMBER 2024
Return the check to the customer - Answer✔️✔️-What should an RR do if a client sends a
check to purchase securities going through the cooling-off period?
True - Answer✔️✔️-True or False: If a registration statement has not been filed with the
SEC, BDs may not discuss new issue information.
final offering price - Answer✔️✔️-The ____________________ will not appear in a red
herring.
Blue-Sky Laws - Answer✔️✔️-What rules govern the registration of an issue in any state
in which it will be offered?
true - Answer✔️✔️-True or False: Blue-Sky Laws apply to broker-dealers and agents
operating within a state.
the syndicate. - Answer✔️✔️-In a firm commitment underwriting, unsold securities are
retained by ________________.
the issuer - Answer✔️✔️-In a best-efforts underwriting, unsold securities are retained by
______________.
All-or-None - Answer✔️✔️-What type of underwriting is cancelled if the entire issue is not
sold?
Mini-max - Answer✔️✔️-What type of underwriting is cancelled if a specified portion is not
sold?
Stand-by - Answer✔️✔️-A ___________ underwriting is used for shares not purchased
through a rights offering.
3/27
