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| Vendor: | Finra |
|---|---|
| Exam Code: | Series-7 |
| Exam Name: | General Securities Representative Examination (GS) |
| Exam Questions: | 400 |
| Last Updated: | October 23, 2025 |
| Related Certifications: | General Securities Representative |
| Exam Tags: | General Securities |
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Regulation A permits a short form of filing for offerings of new securities provided the total amount of the offering does not exceed:
$5,000,000. This is the maximum under Regulation A.
The principal underwriter of an open-end investment company is frequently called:
sponsor. Also called the ''distributor'', these terms are interchangeable for an open -end investment company.
Initial margin deposit minimum requirements are set by the:
FRB. The Federal Reserve Board sets the initial margin deposit requirements. The NYSE set the ongoing minimum equity requirements.
The cost of maintaining an investment in a mutual fund is best reflected in the:
expense ratio. Custodial fees are negligible and the sales charge is a one-time expense. The ''best'' reflection of mutual fund costs is the expense ratio.
XYZ Corporation earned $2 per share last year and is selling at $20 per share. If it earns $3 per share this year and its price/earnings ratio stays the same, its price will be:
$30. The current P/E is 10. If earnings are $3 and the P/E is still 10, the share price equals $30 ($3 x 10).
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