FINRA Series7 : General Securities Representative Examination (GS)

  • Exam Code: Series7
  • Exam Name: General Securities Representative Examination (GS)
  • Updated: Sep 18, 2026
  • Q & A: 400 Questions and Answers

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FINRA Series7 Exam Syllabus Topics:

SectionWeightObjectives
Seeks Business for the Broker-Dealer from Customers and Potential Customers7%- Product-specific disclosures and regulatory requirements
- Standards for advertising and public communications
- Customer communication and solicitation rules
Opens Accounts after Obtaining and Evaluating Customers’ Financial Profile and Investment Objectives9%- Account types and documentation requirements
- Financial profile, risk tolerance, and investment objectives
- Suitability rules and regulatory compliance
Provides Customers with Information about Investments, Makes Suitable Recommendations, Transfers Assets and Maintains Appropriate Records73%- Debt securities and government obligations
- Options and derivative products
- Investment companies, ETFs, and variable annuities
- Recordkeeping and regulatory reporting
- Municipal securities
- Margin accounts and taxation
- Direct participation programs
- Equity securities
Obtains and Verifies Customers’ Purchase and Sales Instructions; Processes, Completes and Confirms Transactions11%- Regulatory requirements for transaction processing
- Order types and execution procedures
- Trade settlement and confirmation rules

FINRA General Securities Representative Examination (GS) Sample Questions:

Question #1

Bubba has not existing positions in his account and writes 1 XYZ July 60 put and 1 XYZ July 60 call. What
is this position called?

  • A. short straddle
  • B. long straddle
  • C. short combination
  • D. long combination
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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Question #2

Bubba has a cash account and fails to make full and prompt payment for a purchase. The broker
liquidated the transaction. Two weeks later, Bubba places another buy order for 100 shares of XYZ. What
does the broker do?

  • A. handles the order after obtaining a promise from Bubba to effect prompt settlement
  • B. requires a 25% down payment before executing the order
  • C. refuses the order
  • D. executes the order at its own risk
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

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Question #3

Bubba want to buy a CMO. In general, how often should he expect to receive interest payments?

  • A. every week
  • B. every month
  • C. every year
  • D. at maturity
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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Question #4

Regulation T is set at 50%. Bubba's account contains long positions in the following securities with the
prices listed
1 00 ABC $30
2 00 XYZ $70
2 00 QBB $40
2 00 KKK $25
Total market value = $30,000
Debit balance in the account = $12,000
Net equity balance of the account = $18,000
What is the buying power in Bubba's account?

  • A. $3,000
  • B. $0
  • C. $6,000
  • D. $11,000
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

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Question #5

Which of the following municipal bonds may be grouped under the classification of "revenue bonds"?

  • A. new housing authority
  • B. general obligation
  • C. special tax
  • D. limited tax
Reveal Solution  Discussion  0

Correct Answer: C  🗳️

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