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FINRA Series7 Exam Syllabus Topics:
| Section | Weight | Objectives |
| Obtains and Verifies Customers’ Purchase and Sales Instructions; Processes, Completes and Confirms Transactions | 11% | - Trade settlement and confirmation rules
- Order types and execution procedures
- Regulatory requirements for transaction processing
|
| Seeks Business for the Broker-Dealer from Customers and Potential Customers | 7% | - Product-specific disclosures and regulatory requirements
- Standards for advertising and public communications
- Customer communication and solicitation rules
|
| Opens Accounts after Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives | 9% | - Suitability rules and regulatory compliance
- Account types and documentation requirements
- Financial profile, risk tolerance, and investment objectives
|
| Provides Customers with Information about Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records | 73% | - Investment companies, ETFs, and variable annuities
- Equity securities
- Margin accounts and taxation
- Debt securities and government obligations
- Recordkeeping and regulatory reporting
- Municipal securities
- Direct participation programs
- Options and derivative products
|
FINRA General Securities Representative Examination (GS) Sample Questions:
1. Big Guns Municipal Bond Dealer Corporation buys 100M of 7% 20-year GO bonds at par. The bonds are
marked up and immediately re-offered for sale. Which of the following re-offering prices would probably
be deemed excessive?
A) $100.75
B) 6.9% less 0.5
C) 6.8% net
D) 5.00% net
2. Which of the following is not an attribute of US treasury bills?
A) interest is exempt from federal income taxes
B) an unusually high degree of liquidity
C) always sells at a discount to face value
D) is most often issued with three-month, six-month, and one-year maturities
3. The accounting statement that represents a company's financial position on a particular date is the:
A) balance sheet
B) income statement
C) cash flow statement
D) Profit and Loss
4. Which of the following is considered a firm quotation in the over-the-counter market?
A) 27.50 workout
B) both B and C
C) 27.50
D) 27.50 subject
5. Which of the following best describes phantom income?
A) the non-taxable portion of a distribution
B) income from deductions and tax credits
C) income received but not reported
D) income reported but not received
Solutions:
Question # 1 Answer: D | Question # 2 Answer: A | Question # 3 Answer: A | Question # 4 Answer: C | Question # 5 Answer: D |