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FINRA Series 7

General Securities Representative Qualification Examination (GS)

Verified practice questions with detailed answers, clear explanations, and community discussion.

  • 400

    questions

  • 8 days ago

    last updated

  • 4.8/5

    overall rating

Question 1 of 400

A corporation makes a rights offering to raise $10 million of new capital by issuing one million shares of common stock. If it already has six million shares outstanding at the time of the offering.

What subscription ratio is the corporation establishing for each new share?

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Correct answer: A

6 rights per share. Each share receives a right and there are six million shares receiving rights to one million new shares. So six rights are required for one share.

Question 2 of 400

Bubba wants to buy a $4 convertible preferred with that has a $50 par value and is exchangeable for common stock at $47.50. If the preferred stock is trading at

52, what does Bubba calculate as the common stock price in order to be at parity with the preferred?

Answer choices
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Correct answer: C

a little less than 49.38. Bubba needs a calculator to divide the par value of the preferred stock by the price of the common stock. He then divides the result into the price at which the preferred stock is trading.50 divided by 47.50 = 1.05352 divided by 1.053 = 49.38.

Question 3 of 400

The registration requirements of the federal securities acts are intended to protect the public interest by providing for a prospectus on new issues and its review by the SEC.

Which of the following is the true of this process?

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Correct answer: A

It does not imply SEC approval of the issue. The SEC does not approval an issue. It only attempts to see that sufficient information has been provided from which a proper investment determination may be made.

Question 4 of 400

Bubba Corporation issued bonds that pay interest on January 15 and July 15 each year until maturity. An investor purchasing these bonds on Monday, April 12, must pay the contract price plus accrued interest for:

Answer choices
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Correct answer: D

90 days. Interest accrues from the coupon date to the settlement date. A regular way purchase on April 12 will settle on April 15. corporate bonds are figures on 30-day months, regardless of the actual number of days in the month. The year is considered 360 days. Therefore, interest is calculated for 16 days in
January plus 30 each for February and March plus 14 for April.

Question 5 of 400

Which of the following options positions is characteristic of a short straddle?

Answer choices
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Correct answer: C

long one put and short one call. This is a short straddle. A position that is long one put and long one call is a long straddle.

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Charles Sirois
Canada
As this was my first certification exam, I was understandably nervous about what to expect. These study materials made the preparation process much easier, and many of the questions closely reflected those on the actual exam.
Lance Chambers
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Wasted about a month going through the free dump sites scattered all over reddit, half the answers were wrong and the other half were for a version of the exam that doesn't even exist anymore. Eventually gave in and paid the small fee here, and the difference was night and day.
Alisha Kelly
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Honestly, I had already gone through the official documentation quite thoroughly, but still didn't feel fully confident going in. This helped things finally click for me. I realized I knew the material, but just hadn't connected all the pieces yet.
Casper Claassen
Netherlands
Used this along with Microsoft Learn and the combo worked really well. The practice questions made the stuff I'd read actually stick. Passed first attempt, no complaints from me.
Gabriele Ghesla
Italy
The content is accurate and clearly presented, and it's more affordable than competitors. The team has been incredibly responsive whenever I've had an issue, and they've been open to small changes that improve the platform.
Charles Sirois
Canada
As this was my first certification exam, I was understandably nervous about what to expect. These study materials made the preparation process much easier, and many of the questions closely reflected those on the actual exam.
Lance Chambers
United States
Wasted about a month going through the free dump sites scattered all over reddit, half the answers were wrong and the other half were for a version of the exam that doesn't even exist anymore. Eventually gave in and paid the small fee here, and the difference was night and day.
Alisha Kelly
Italy
Honestly, I had already gone through the official documentation quite thoroughly, but still didn't feel fully confident going in. This helped things finally click for me. I realized I knew the material, but just hadn't connected all the pieces yet.
Casper Claassen
Netherlands
Used this along with Microsoft Learn and the combo worked really well. The practice questions made the stuff I'd read actually stick. Passed first attempt, no complaints from me.
Gabriele Ghesla
Italy
The content is accurate and clearly presented, and it's more affordable than competitors. The team has been incredibly responsive whenever I've had an issue, and they've been open to small changes that improve the platform.
Morgan Farmer
United Kingdom
I don't usually leave reviews, but this one felt worth sharing. The questions were quite close to what actually appeared on the exam, more than I expected. I spent about a week going through the material before my test, and it helped me feel more prepared.
Remi Nuyts
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Archie Hopkins
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I had a smooth experience from start to finish. Access was available right away, no technical issues, which made it easy to get started. The content felt relevant and aligned well with what I was looking for.
Nancy Mcbride
United States
Does what it says it does. Content felt solid, nothing confusing to navigate and I didn't run into any weird issues. I been putting off scheduling the exam for a while and going through this gave me enough confidence to finally book it and pass.
Neil Savage
United States
A very quick response was received via email when a link issue occurred. The study materials provided were high quality and extremely helpful. I was able to complete the test successfully. Many thanks for the excellent support.
Morgan Farmer
United Kingdom
I don't usually leave reviews, but this one felt worth sharing. The questions were quite close to what actually appeared on the exam, more than I expected. I spent about a week going through the material before my test, and it helped me feel more prepared.
Remi Nuyts
United States
Passed ITIL 4 Foundation with 87%. Material was enough by itself.
Archie Hopkins
United States
I had a smooth experience from start to finish. Access was available right away, no technical issues, which made it easy to get started. The content felt relevant and aligned well with what I was looking for.
Nancy Mcbride
United States
Does what it says it does. Content felt solid, nothing confusing to navigate and I didn't run into any weird issues. I been putting off scheduling the exam for a while and going through this gave me enough confidence to finally book it and pass.
Neil Savage
United States
A very quick response was received via email when a link issue occurred. The study materials provided were high quality and extremely helpful. I was able to complete the test successfully. Many thanks for the excellent support.

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