SIE Practice Test 4

Cassie has $180,000 saved with an FDIC member bank. Her and her husband Conner have a joint account at the same bank with a total of $620,000. If the bank were to fail, how much in total would this couple be insured?

Michael just received a financial report in December 2020 including the investment company’s balance sheet, income statement, and various transactions completed. When should Michael at the very latest expect the next financial report?

Which type of DPP (Direct Participation Program) has depreciation deductibles?

How can a REIT avoid being taxed as a corporation?

With hedge funds being unregulated, how does the U.S. confirm its investors are sophisticated?

Jalen is looking at a bond with a coupon rate of 5%. The current inflation rate is 4%, but Jalen is afraid that it may drastically increase soon and negatively impact his debt instrument? Which risk is Jalen’s fear highlighting?

Which of the following is not an advantage of an ETF compared to open-end mutual funds?

Which of the following is not a potential sanction under FINRA’s Code of Procedure?

Jonathan’s friend told him that he can save money on taxes by selling his stock while down to generate a capital loss. Then all he would need to do is buy the stock right back for long-term investments meanwhile reporting capital loss on his taxes. Which violation is Jonathan’s friend instigating?

When can a BD give another firm’s employees’ gratuities?