1. Administration Of The USA

Question 1

If FINRA disqualifies a broker-dealer or agent may an administrator overrule FINRA?

Answer 1

No

Question 2

Under the USA is an administrator authorized to issue injunctions?

Answer 2

No

Question 3

And SROs penalty for a minor rule violation is?

Answer 3

Find of $2500 or less

Question 4

What is a minor rule violation?

Answer 4

Violations that may not warrant the initiation of a full disciplinary proceeding.

Question 5

True or false: an offering of stock rights is defined as an offer under the USA

Answer 5

True

Question 6

True of false: A stock dividend is considering an offer under the USA

Answer 6

False

Question 7

Define an offer under the USA.

Answer 7

And offering Includes every attempt to dispose of, and every solicitation to buy, a security for value.

Question 8

According to the USA if the administrator revokes denies or suspend the registration it would require be required to provide what?

Answer 8

A written prior notice, written findings of fact, and an opportunity for a hearing.

Question 9

When purchasing mutual fund shares when is a prospectus required to be sent?

Answer 9

After the purchase has been completed.

Question 10

Who must all written complaints be forwarded to?

Answer 10

The immediate supervisor.

Question 11

If a broker dealer is unable to pay its creditors to protect its clients and creditors, the administrator would:

Answer 11

Request a court hearing to obtain an order appointing the administrator as a receiver

Question 12

According to the USA the administrator is not required to publish rules

Answer 12

False

Question 13

T or F: According to the USA a rule of the administrator is not part of the USA, but carries the weight of law.

Answer 13

True

Question 14

And institutional buyers defined under the USA as:

Answer 14

Any person defined by the administrator by rule or order.