Quiz-summary
0 of 10 questions completed
Questions:
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10
Information
Free Practice Questions
You have already completed the quiz before. Hence you can not start it again.
Quiz is loading...
You must sign in or sign up to start the quiz.
You have to finish following quiz, to start this quiz:
Results
0 of 10 questions answered correctly
Your time:
Time has elapsed
You have reached 0 of 0 points, (0)
Categories
- Not categorized 0%
- 1
- 2
- 3
- 4
- 5
- 6
- 7
- 8
- 9
- 10
- Answered
- Review
-
Question 1 of 10
1. Question
Identify the requirements to be reviewed by the qualified registered principal for the institutional communications:
I. A copy of the communication
II. The name of any registered principal approving of the communication
III. Formation about the source of information used in graphic illustrations
IV. If not approved by a registered principal prior to first use, the name of the person who prepared itCorrect
All communications, retail and institutional, are to be retained according to requirements, and must include:
a copy of the communication
the name of any registered principal approving of the communication
if not approved by a registered principal prior to first use, the name of the person who prepared it
information about the source of information used in graphic illustrations
if approval is not required for retail communication, the name of the member that filed it with FINRA, as well as the letter from FINRAIncorrect
All communications, retail and institutional, are to be retained according to requirements, and must include:
a copy of the communication
the name of any registered principal approving of the communication
if not approved by a registered principal prior to first use, the name of the person who prepared it
information about the source of information used in graphic illustrations
if approval is not required for retail communication, the name of the member that filed it with FINRA, as well as the letter from FINRA -
Question 2 of 10
2. Question
Identify the types of communication covered under FINRA Rule:
I. Prerecorded messages
II. Bona fide written communication
III. Abandoned calls
IV. Outbound calls that have been outsourced to a third partyCorrect
The types of communications covered under FINRA Rule 3230 include:
Outbound calls from a member or associated person of a member to a non-broker dealer, including to wireless telephone numbers.
Outbound calls that have been outsourced to a third party.
Abandoned calls, which are those not answered by someone at the member within two seconds of the person’s completed greeting.
Prerecorded messages.Incorrect
The types of communications covered under FINRA Rule 3230 include:
Outbound calls from a member or associated person of a member to a non-broker dealer, including to wireless telephone numbers.
Outbound calls that have been outsourced to a third party.
Abandoned calls, which are those not answered by someone at the member within two seconds of the person’s completed greeting.
Prerecorded messages. -
Question 3 of 10
3. Question
Name the system by which securities orders are matched to bypass the need for a third party.
Correct
An electronic communication network, or ECN, is a system by which securities orders are matched to bypass the need for a third party. The matching is performed electronically, and allows buyers and sellers of securities to communicate directly without the need for a third party to facilitate their trading. ECNs must register with the Securities and Exchange Commission (SEC) as a broker/dealer, and collect a fee for their services.
Incorrect
An electronic communication network, or ECN, is a system by which securities orders are matched to bypass the need for a third party. The matching is performed electronically, and allows buyers and sellers of securities to communicate directly without the need for a third party to facilitate their trading. ECNs must register with the Securities and Exchange Commission (SEC) as a broker/dealer, and collect a fee for their services.
-
Question 4 of 10
4. Question
Identify the functions of ECN:
I. ECN matches orders for buyers and sellers
II. ECN makes the process of trading time-taking and cumbersome
III. ECN facilitates trading by displaying the bid/ask prices for the securities
IV. ECN executes transactions on behalf of the buyers and sellersCorrect
ECNs facilitate trading by displaying the optimal bid/ask prices for the same securities, and then automatically execute the transaction on behalf of the buyers and sellers. ECNs greatly reduce the time it takes to match orders for buyers and sellers. In addition to serving retail investors, ECNs also facilitate trading for institutional investors.
Incorrect
ECNs facilitate trading by displaying the optimal bid/ask prices for the same securities, and then automatically execute the transaction on behalf of the buyers and sellers. ECNs greatly reduce the time it takes to match orders for buyers and sellers. In addition to serving retail investors, ECNs also facilitate trading for institutional investors.
-
Question 5 of 10
5. Question
What should be the clients total monthly payment on all debts?
Correct
Consumer debt should never be greater than 20% of income. The monthly payments on a home should be no more than 28% of the owner’s gross income. The total monthly payment on all debts should never be more than 38% of gross monthly income.
Incorrect
Consumer debt should never be greater than 20% of income. The monthly payments on a home should be no more than 28% of the owner’s gross income. The total monthly payment on all debts should never be more than 38% of gross monthly income.
-
Question 6 of 10
6. Question
What percentage of a person’s gross income should go into savings and investments?
Correct
It is a good rule of thumb to have at least 5-10% of gross income going into savings and investments, not including reinvested dividends and income.
Incorrect
It is a good rule of thumb to have at least 5-10% of gross income going into savings and investments, not including reinvested dividends and income.
-
Question 7 of 10
7. Question
What are the types of debt that a financial planner will need to address?
I. Twenty day accounts
II. Revolving and optional charge accounts
III. Instalment purchases or time payment plans
IV. Regular charge accountsCorrect
There are three main varieties of consumer debt: thirty-day or regular charge accounts; revolving and optional charge accounts; and installment purchases or time-payment plans.
Incorrect
There are three main varieties of consumer debt: thirty-day or regular charge accounts; revolving and optional charge accounts; and installment purchases or time-payment plans.
-
Question 8 of 10
8. Question
Identify the sources of consumer credit:
I. Commercial banks
II. Credit Unions
III. Life insurance companies
IV. Financial plannersCorrect
The most common sources of consumer credit are commercial banks, consumer finance companies, credit unions, savings and loan associations, life insurance companies, brokerage companies, and auto dealers.
Incorrect
The most common sources of consumer credit are commercial banks, consumer finance companies, credit unions, savings and loan associations, life insurance companies, brokerage companies, and auto dealers.
-
Question 9 of 10
9. Question
Which chapter of bankruptcy deals with the liquidation?
Correct
Chapter 7 bankruptcy has to do with liquidation; in order to qualify for this form of bankruptcy, the debtor must be an individual, partnership, or corporation. The debtor is allowed to retain certain property, but a trustee liquidates all other assets.
Incorrect
Chapter 7 bankruptcy has to do with liquidation; in order to qualify for this form of bankruptcy, the debtor must be an individual, partnership, or corporation. The debtor is allowed to retain certain property, but a trustee liquidates all other assets.
-
Question 10 of 10
10. Question
In which type of bankruptcy, the debtor is allowed to hold on to his or her property as long as he or she makes regular payments?
Correct
Chapter 7 bankruptcy has to do with liquidation; in order to qualify for this form of bankruptcy, the debtor must be an individual, partnership, or corporation. The debtor is allowed to retain certain property, but a trustee liquidates all other assets. The discharge of Chapter 7 bankruptcy will extinguish the debtor’s responsibility for dischargeable debts. Such a discharge is available to individual debtors only and not to partnerships or corporations.
Incorrect
Chapter 7 bankruptcy has to do with liquidation; in order to qualify for this form of bankruptcy, the debtor must be an individual, partnership, or corporation. The debtor is allowed to retain certain property, but a trustee liquidates all other assets. The discharge of Chapter 7 bankruptcy will extinguish the debtor’s responsibility for dischargeable debts. Such a discharge is available to individual debtors only and not to partnerships or corporations.