FINRA Practice SIE Exam with correct answers.

FINRA Practice SIE Exam with correct |\ |\ |\ |\ |\ |\ |\




answers


The redemption value of an open-end investment company's
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shares is based on the:
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previous offering price |\ |\




previous closing NAV |\ |\




NAV computed after the order is received
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offering price computed after the order is received - CORRECT
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ANSWERS ✔✔NAV computed after the order is received
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The computation of dollar prices and accrued interest on
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municipal bonds is normal on what calendar basis?
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30/360
30/365
Actual/360
Actual/365 - CORRECT ANSWERS ✔✔30/360 |\ |\ |\ |\




Blue-sky laws are regulated by which of the following entities?
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SEC
MSRB
FINRA
state securities regulators - CORRECT ANSWERS ✔✔State
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securities regulators |\

,At the time of issuance, which of the following securities normally
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has the longest period to expiration?
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Rights
Options
Warrants
Repurchase agreements - CORRECT ANSWERS ✔✔Warrants |\ |\ |\ |\ |\




Regular way settlement on Treasury Bonds is: |\ |\ |\ |\ |\ |\




same day |\




next business day |\ |\




second business day |\ |\




fifth business day - CORRECT ANSWERS ✔✔next business day
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A firm is a participant in a public offering. To sell a substantial
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amount of the securities to its customers, the firm agrees to
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repurchase the shares at no less than the original sales price.
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Such agreements are: |\ |\




prohibited as fraudulent and manipulative. |\ |\ |\ |\ |\




Permissible if the securities are deposited into escrow. |\ |\ |\ |\ |\ |\ |\ |\




prohibited unless the firm immediately sets aside funds for the
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repurchase
permissible if the customers retain the right to sell the securities
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into the open market. - CORRECT ANSWERS ✔✔prohibited as
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fraudulent and manipulative |\ |\

, Under SEC S-P (Consumer Privacy), which of the following
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information must a firm include in its customer privacy and opt-
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out notices?
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the address of the firm's website
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the fee to opt out from the privacy program
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the deadline by which to opt out from the privacy program
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the policies to protect the security of nonpublic information -
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CORRECT ANSWERS ✔✔the policies to protect the security of
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nonpublic information |\




UTMA accounts are opened under the tax ID number of the:
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minor
donor
parent
custodian - CORRECT ANSWERS ✔✔minor|\ |\ |\ |\




Under FINRA rules, noncash compensation connected with the
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sale of variable contracts includes all of the following items
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EXCEPT:
gifts
meals
lodging |\




commissions - CORRECT ANSWERS ✔✔commissions |\ |\ |\ |\




Describe the difference between primary distribution and
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secondary distribution. - CORRECT ANSWERS ✔✔a primary
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distribution involves a sale of newly issued shares by the issuer
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