Chapter 15 (quiz)

Which of the following statements is NOT TRUE?

SEC record retention rules generally require a firm to maintain records in an easily accessible location for the first three years

In which of the following situations must a broker-dealer file a Currency Transaction Report (CTR)?

a customer opens an account with $11,000 in cash

Which of the following statements is TRUE concerning the opening of a cash account?

a principal of the firm must sign the new account form

Jerry is planning to open an account at Grace Securities. Grace must furnish him with a privacy notice

at the time he opens the account

Which of the following statements are NOT TRUE about the SEC Customer Protection Rule?

excess margin securities are equal to the client's equity in the account (market value minus debit balance)

A registered representative is sending an email to five clients. Which of the following statements is TRUE?

it is considered correspondence and subject to review by a principal

Which of the following statements is NOT TRUE about a fidelity bond?

it protects customers in the event their broker-dealer goes bankrupt

Where is a FINRA member required to place a link for FINRA's BrokerCheck website?

on the first landing page of the broker-dealer's publicly available website

A broker-dealer must maintain customer account records for how long after an account is closed?

six years

As it relates to money laundering, which of the following choices best describes structuring?

the client makes small deposits to evade AML reporting thresholds