FINRA Series 6 Exam Questions

Question 6 of 325

SuperDOT is:

an electronic communication network (ECN).

an electronic system whereby trades are executed on NASDAQ.

an electronic system used to place orders on the NYSE.

both A and C.

Correct Answer: C

Question 7 of 325

GoForBroke Investments has registered with the SEC to be a market maker in certain NASDAQ-listed securities. In order to be able to enter bid and ask quotes for the securities in which it is going to make a market, GoForBroke must subscribe to which level of NASDAQ?

Level I

Level II

Level III

Level IV

Correct Answer: C

Question 8 of 325

Which of the following is not a characteristic of all auction stock exchanges in the U.S.?

There is a central marketplace.

Stocks that are traded on the exchange must meet certain listing requirements, determined by the exchange.

In order to conduct a trade on the exchange, a broker must be a member of the exchange or hold a license to trade on the exchange.

If a stock is listed on one of these exchanges, it is not permitted to be listed on any other exchange.

Correct Answer: D

Question 9 of 325

Which of the following is an example of a primary market transaction?

Exco Resources (XCO) sells a new issue of 7.5%, 8-year notes.

Ms. Talker calls her broker and places a market order to sell shares of AT&T (T) on the NYSE.

Mr. Safe purchases a Treasury bill with two weeks remaining to maturity.

Mr. Green places an order to buy shares of Sunvalley Solar, Inc. (SSOL), a stock selling on the OTC Bulletin Board.

Correct Answer: A

Question 10 of 325

NASDAQ is:

an acronym for Norway’s major stock exchange.

the government organization that insures accounts at U.S. brokerage firms.

a computerized system that links together the U.S. regional exchanges.

a computerized quotation system used in the over-the-counter market.

Correct Answer: D