{"id":"series-7-free","timeLimitSec":540,"questions":[{"id":"s7f-001","section":"transactions","q":"A customer's buy order for a listed stock executes on a Monday (no holidays). When is regular-way settlement?","options":["Monday (same day)","Wednesday (T+2)","Tuesday (T+1)","Thursday (T+3)"],"answer":2,"explain":"Since May 2024, regular-way settlement for most US stocks and corporate bonds is one business day after the trade (T+1)."},{"id":"s7f-002","section":"business","q":"Under FINRA Rule 2210, a written message sent to more than 25 retail investors within any 30-day period is classified as what?","options":["Institutional communication","Public appearance","Correspondence","Retail communication"],"answer":3,"explain":"More than 25 retail investors within 30 days makes it a retail communication. Twenty-five or fewer within 30 days is correspondence."},{"id":"s7f-003","section":"recommend","q":"A 26-year-old customer saving for retirement in 40 years wants long-term growth and accepts ups and downs. Which recommendation fits best?","options":["A money market fund","A diversified stock fund","A fixed annuity in payout","A 6-month Treasury bill"],"answer":1,"explain":"A long time horizon and a growth objective fit a diversified equity fund. The other choices protect capital but offer little long-term growth."},{"id":"s7f-004","section":"accounts","q":"Under the Customer Identification Program rules, what must a firm obtain from an individual before opening the account?","options":["Name, date of birth, address and ID number","Name, phone number and two personal references","Name, tax bracket and bank statement","Name, employer, income and net worth"],"answer":0,"explain":"The USA PATRIOT Act CIP rule requires at least name, date of birth, residential address and an identification number (such as an SSN) for an individual."},{"id":"s7f-005","section":"recommend","q":"A company skipped last year's $4 dividend on its cumulative preferred stock. What must happen before common stockholders get a dividend?","options":["The missed preferred dividends must be paid","The preferred must be converted","Preferred holders must vote on it","Nothing; common stockholders are always paid first"],"answer":0,"explain":"Cumulative preferred keeps a claim to every missed dividend. All arrears must be paid before any common dividend."}]}