Pass with professional Series6 actual quiz materials

Lana is registered as a limited representative and is employed by Everything Investments. Her duties
include selling mutual funds and variable contracts products to the firm's clients. She has been
particularly successful in selling variable contracts offered by OneLife insurance company. As a "thank
you" for her hard work, OneLife has offered her a ticket to an upcoming play at a local dinner theatre.
Given this scenario, which of the following statements applies?

• A. Lana will have to pass on the offer. She is permitted to receive only cash compensation in an amount
  not to exceed $100 from an entity other than Everything, and then only with Everything's approval.
• B. Lana can accept the offer as long as Everything agrees to it and as long as it is not an ongoing thing
  and/or preconditioned on her achieving a specified sales target.
• C. Lana can accept the offer without Everything's approval in this instance since the offer does not involve
  cash.
• D. Lana will have to pass on the offer. Lana is prohibited from receiving compensation from anyone other
  than Everything Investments.

Which of the following investments would have the least interest rate risk?

• A. a 6-month Treasury bill
• B. a 3-year Treasury STRIP
• C. a 20-year, AAA-rated municipal bond
• D. a 15-year, AAA-rated corporate bond

Which of the following is an example of market risk?

• A. the risk that a drug company will produce a pill that will cure cancer
• B. the risk that competing firms will enter the market when a firm's patent protection expires
• C. the risk that the nation will enter a recession
• D. the risk that an automobile manufacturer will have to undertake a massive recall of its cars

On which of the following items do mutual fund shareholders get to vote?
I. any change in the investment objective of the fund
II. the election of a new investment adviser
III. the renewal of the fund's 12b-1 fee
IV. the purchase or sale of real estate by the fund

• A. I, III, and IV only
• B. I, II, and III only
• C. I, II, and IV only
• D. I, II, III, and IV

Which of the following activities are prohibited by FINRA when a representative is selling shares of a
mutual fund?
I. recommending that a client purchase shares of a mutual fund prior to its ex-dividend date, so that the
client will receive the dividends when they are distributed unless this recommendation is justified by the
specific circumstances of the client
II. telling a client that a mutual fund that has only a contingent deferred sales charge is a no load fund
III. telling a client that the interest he earns on a municipal bond fund will be free from federal taxation
IV. refraining from placing the customer's order promptly in order to profit himself as a result of having
done so

• A. I and III only
• B. II and IV only
• C. I, II, and IV only
• D. I, II, III, and IV