Series 7 and 65 Readiness Test

10 questions, balanced across the exam's topics. Answer each one, then submit for your practice readiness estimate and per-topic breakdown. This is a practice estimate — not a prediction or guarantee of your official exam result.

Question 1

An investor sells 1 ABC 50 put at 5. What is the maximum loss?

$500 $5000 $4500 $4400

Question 2

Which of the following best describes correspondence?

FINRA Rule 2090's requirement to know essential facts about each customer an individual representing a broker-dealer in securities transactions a person who receives and trades on tipped material nonpublic information a firm communication to fewer than 25 retail investors in 30 days

Question 3

financial status is best defined as:

a customer's willingness and ability to endure investment volatility holding a large portion of a portfolio in one security, magnifying unsystematic risk Reg BI's requirement to disclose material facts about the relationship and conflicts a customer's income, net worth, and overall financial condition

Question 4

Tipping material nonpublic information to someone who then trades makes the tipper liable as a tipper in an insider trading violation.

market maker innocent bystander whistleblower tipper in an insider trading violation

Question 5

A company has $8000 in current assets and $6000 in current liabilities. What is its current ratio?

1.33 0.75 0.67 1.83

Question 6

An IA that never gives clients its disclosure brochure violates:

T+1 settlement the brochure rule (delivery at or before entering the contract) the 5% markup policy Regulation T

Question 7

Which of the following best describes education funding?

saving to pay future education expenses investing to fund living expenses after employment ends a customer's history with and knowledge of investing liquid savings reserved for unexpected expenses

Question 8

Which of the following best describes confidentiality?

trading on material nonpublic information in breach of a duty selling away: securities business done outside the employing firm a fiduciary's duty to safeguard nonpublic client information treating customers honestly and equitably in all transactions

Question 9

Which of the following best describes an ADR?

selling a call against stock already owned, capping upside for premium income a dollar-denominated receipt representing shares of a foreign company interest earned but not yet paid, owed by a bond buyer to the seller a collateralized mortgage obligation: mortgage-backed bonds split into tranches with different priorities

Question 10

Regulation T is best defined as:

the Federal Reserve rule setting 50% initial margin on securities purchases FINRA's $100-per-person-per-year cap on business gifts the requirement that client assets sit with a qualified custodian, with surprise exams when the adviser has custody an investor meeting income or net-worth thresholds for private offerings

Unanswered questions count as incorrect. Your answers are graded on the server; no answer key is sent to your browser.

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