All of the following are coincident economic indicators EXCEPT:
personal income
employment duration
employment levels
industrial production
employment duration - is a LAGGING indicator
A foreign currency trade that settles either one or two business days after trade date is a:
cash settlement
seller's option settlement
forward settlement
spot settlement
spot settlement
The Federal Telephone Consumer Protection Act permits:
unsolicited calls to be made only after 8AM or before 9PM in the time zone of the recipient
solicited calls to be made anytime
Which statements are TRUE regarding bids placed at the Treasury Auction?
competitive bids are not always filled, and only the lowest interest rate bids are filled
The U.S. balance of payments deficit would widen for all of the following reasons EXCEPT:
dividend payments by U.S. issuers to foreign holders of those securities increase
purchases of U.S. securities by foreigners increase
exports of domestic goods to fo
purchases of U.S. securities by foreigners increase
All of the following are defined as "portfolio income" under IRS guidelines EXCEPT:
dividends received from common stock holdings
interest income received from bond holdings
proceeds from the sale of securities in excess of the tax basis of those securiti
royalties received from oil and gas limited partnership
Stand-by underwriting are a type of:
firm commitment underwriting used in rights offerings
Which of the following MUST be registered under state blue sky laws?
I Sales representatives
II broker-dealers
III U.S. government issues
IV Real estate investment trust issues
I, II, and IV
Which of the following Securities Acts define(s) exempt issuers and exempt transactions?
I The securities act of 1933 defines exempt issuers
II the securities act of 1934 defines exempt issuers
III the securities act of 1933 defines exempt transactions
IV
I and III
What is the formula for Interest Coverage Ratio?
total operating and non-operating income \ annual bond interest expense = interest coverage ratio
Which of the following interest rates is the highest?
discount rate
federal funds rate
broker loan rate
prime rate
prime rate
The most complete information about the nature of a new municipal bond issue can be found in the:
prospectus
underwriting agreement
bond resolution
official notice of sale
bond resolution
What is the formula for debt ratio, bond ratio?
long term debt / total long term capital = debt ratio
In which of the following types of underwriting commitments are the underwriters acting as principals?
I firm
II stand-by
III all or none
IV best efforts
I and II
Which of the following statements are TRUE regarding Rule 415?
I This rule allows seasoned issuers to file a blanket registration which covers a 3 year period
II This rule allows seasoned issuers to file a blanket registration which covers a 5 year period
I and IV
A registered representative has prepared a research report about a new stock issue that is currently in registration. The registered representative wishes to send the report to customers. Which statement is TRUE?
the report constitutes an "offer" under the 1933 Act and cannot be sent
If sales of a municipal new issue by each syndicate member are used to extinguish liability of the group as a whole, then this indicates the account is a(n):
I undivided account
II divided account
III western account
IV eastern account
I and IV
Most of the registration statement filed with the SEC is information that is found in the:
preliminary prospectus
Which of the following statements are TRUE regarding new municipal offerings?
I general obligation bonds are usually offered through competitive bid
II general obligation bonds are usually offered through a negotiated offering
III revenue bonds are usuall
I and IV
A client of a registered representative refers a new potential customer. This customer is interested in purchasing an oil and gas limited partnership unit. What percentage of the purchase amount can the representative share with the referring client as a
0% because they cannot share commissions, sales charges, or pay referral fees to anyone other than another registered person at the same member firm
All of the following items are included on a company's income statement EXCEPT:
reinvested dividends
If factory inventory levels are decreasing which of the following statements are TRUE?
I economic conditions are improving
II economic conditions are deteriorating
III consumer demand is increasing
IV consumer demand is decreasing
I and III
All of the following are functions of the Federal Reserve Board EXCEPT:
acting as a fiscal agent for the U.S. Treasury
auditing commercial banks for compliance with banking MSRB regulations
lending funds to member banks through the discount window
setting
setting margins on municipal securities
U.S. Government securities:
trades settle "regular way" in 3 business days
are exempt securities under the Securities Act of 1933
are sold through prospectus offerings
are implicitly backed by the U.S. government
are exempt securities under the Securities Act of 1933
Trading in the Interbank market will affect all of the following directly EXCEPT:
A. foreign currency prices in terms of U.S. dollars
B. American Depositary Receipt prices in terms of U.S. dollars
C. future economic growth
D. future inflation levels
I, II, III NOT IV
A website maintained by a member firm that is not password protected is considered to be:
advertising
sales literature
public forum
correspondence
advertising
An investor holds an international bond fund. Regarding the performance of the fund, which of the following statements are TRUE?
if the foreign currency value rises against the dollar, the funds net asset value will increase, and if the dollar falls against the foreign currency, the fund will have a superior performance relative to dollar denominated funds
The trust indenture act of 1939 applies to offerings of:
I corporate stock
II corporate debt
III real estate investment trusts
IV unit investment trusts
II only
Investment banks perform all of the following functions EXCEPT:
accept time and demand deposits
A registered representative solicits an order from a new customer to purchase a "penny stock" that is trading over-the-counter. What must be disclosed to the customer on the trade confirmation?
the compensation received by the representative and the broker-dealer in the transaction
Under SEC Rules, filing of the Form 144, required when selling restricted stock, is the responsibility of the:
seller
Which of the following are covered under the Securities Exchange Act of 1934?
I registration of new issues
II stabilization of new issues
III registration of exchanges
IV registration of broker/dealers
II, III, and IV