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FINRA General Securities Representative Examination (GS) Sample Questions:

1. Which of the following is a right for shareholders of common stock?

A) the right to have the stock price increase
B) the right to vote about important matters of the company
C) both B and C
D) the right to dividends

2. The minimum denomination for a US treasury bond is:

A) $1,000
B) $100
C) $100,000
D) $10,000

3. An option that permits the holder to exercise the contract only at expiration is referred to as:

A) Nordic style
B) Asian style
C) European style
D) American style

4. In what broad category of municipal bonds are "limited tax" bonds placed?

A) special tax
B) general obligation
C) revenue
D) new housing authority

5. Bubba opens an account at a broker/dealer with instructions to "transfer and ship". This means that:

A) all correspondence to Bubba must be sent registered mail
B) transactions for Bubba will be transferred to another broker for processing
C) each trade report must note Bubba's certificate registration instructions
D) securities purchased must be registered in Bubba's name and then delivered to him

Solutions: