FINRA General Securities Representative Qualification (GS): FINRA-SERIES-7

A dealer buys 100 shares of XYZ common, which is an actively traded stock, at 23.50. Three days later, when XYZ common is quoted at 19.50 - 19.75, he sells the 100 shares to a customer. The basis for the dealer's markup is:

A. 10 5/8

B. 19 7/8

C. 23 1/2

D. 5% above cost

Which of the following best describes phantom income?

A. income from deductions and tax credits

B. the non-taxable portion of a distribution

C. income received but not reported

D. income reported but not received

A buy-in of a customer's sale transaction is mandated if the securities have not been received by the broker/ dealer within how many business days following the settlement date:

A. 5

B. 10

C. 20

D. 30