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NEW QUESTION: 1
Sarah Bean is a registered representative with NewWave Investments, a family of mutual funds. She has
recommended one of NewWave's funds to a client and given him a prospectus. The prospectus provides
information about the fund's breakpoints and indicates that an investment of $25,000 or more will lead to
a reduced front-end load. The prospectus also clearly explains the details of a letter of intent. Sarah's
client invests $23,000 in the fund then and there without even opening the prospectus. Has Sarah violated
any of FINRA's rules of conduct?
A. Yes. Sarah is not permitted to accept funds from a client without the presence of her immediate
supervisor.
B. Yes. Sarah is required to explain the concepts of breakpoints and letters of intent to her client.
C. No. Sarah properly provided her client with a prospectus prior to selling him shares of the fund.
D. Yes. Sarah needed to tell her client that he would have to read through the prospectus to ensure he
understood all aspects of the investment before she could take any money from him.
Answer: B
Explanation:
Yes. Sarah is required to explain the concepts of breakpoints and letters of intent to her
client and her failure to do so is a violation of FINRA's rules of conduct. A registered representative selling
mutual fund shares is required to explain the salient facts contained in a fund's prospectus to a client
before selling him the fund shares. Sarah's failure to do so is deemed "inconsistent with just and equitable
principles of trade."

NEW QUESTION: 2
When assigning a user the ability to create, edit, manage, and delete questions, what is the correct path?
A. Configuration > [SmartOrg] Administration> [Users] User Types > Recruiting > Candidates > Other > Screening
B. Configuration > [SmartOrg] Administration > Configuration Profiles
C. Configuration > [SmartOrg] Administration> [Users] User Types > Recruiting > Prescreening
D. Configuration > [Recruiting] Administration> [Integration) Screening Services
Answer: C

NEW QUESTION: 3
DRAG DROP


Answer:
Explanation:

Explanation:

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