Brokerage account - Study guides, Class notes & Summaries

What is the maximum amount of SIPC coverage available to each separate customer? -Correct Answer $500,000 including up to $250,000 in cash If a customer purchases securities and does not settle the account 4 business days, what should the brokerage firm do first? -Correct Answer Ask for an extension of time from the SRO or cancel the trade and sell off the purchased securities When must a customer who purchases securities in a cash or margin account pay for the securities? -Correct Answer ...

Salesperson is working for a principal, but the salesperson exceeds authority in agreement. Principal does nothing to correct the actions, and the public is led to believe the actions were okay. Agency? - Answer-Estoppel Amount stated in a purchase contract in case the buyer breaches is called: - Answer-Liquidated In a sublease with a positive leasehold who benefits from excess rent? - Answer-Sub-lessor Property taxes are 1,525. 1st half paid by seller closes November 2nd - Answer-512.57 De...

NC Broker PSI State Portion Questions and Answers Already Passed What is the primary purpose of the North Carolina Real Estate Commission? A) To issue real estate licenses B) To regulate and enforce real estate laws C) To conduct real estate training programs D) To provide financial assistance for real estate transactions B) To regulate and enforce real estate laws Which of the following is a requirement for obtaining a real estate broker license in North Carolina? A) Completi...

Reca - Residential Exam Questions And Answers Self regulation - ANS -General obligation -Care & Skill -Act honestly -Negotiate favorable terms -Maintain confidentiality -Disclose information -Act in person -Obey lawful instructions -Perform mandate Brokerage interests - ANS Interest of brokerage at odds with brokerage client Fiduciary duties - ANS -Utmost loyalty -Not to make secret profits -Maintain confidentiality -To account -Avoid and disclose conflicts of i...

A bank in Italy holds a business account for a Italian company that sells gold throughout Europe and the Western Hemisphere. The bank knows the purpose of this account is to receive payment for sales. A review of the account shows a pattern of wire transfers coming from payable-through accounts. There is also a pattern of purchases of gold bullion held in Swiss banks. The MOST important factor in assessing whether money laundering is a threat is that the: - ️️Payments come from third-pa...

Alabama License Law Exam Questions with Complete Solutions In the state of Alabama, what is the difference between a customer and a client? A. a client pays the commission B. a client is a seller while a customer is a buyer C. a client has signed an agreement for specific services D. a licensee has duties to a client but not to a customer D Which of the following is NOT an allowed brokerage relationship in Alabama? A. a limited nonconsensual dual agency B. a single agency C. a sub agency...

ERISA - Answer- Employee Retirement Income Security Act 1974 SOC Reports - Answer- Service Organization Controls: for external vendors SOC 1 - Answer- Internal Controls & Financial reports; used by auditors SOC 2 - Answer- Security, availability, processing integrity, confidentiality and privacy controls;used by management, regulators, and others under an NDA SOC3 - Answer- Same as SOC2, but available for public use. Tribble V Edison - Answer- Landmark court case re fiduciary resp...

Alabama License Law Exam Questions with Complete Solutions In the state of Alabama, what is the difference between a customer and a client? A. a client pays the commission B. a client is a seller while a customer is a buyer C. a client has signed an agreement for specific services D. a licensee has duties to a client but not to a customer D Which of the following is NOT an allowed brokerage relationship in Alabama? A. a limited nonconsensual dual agency B. a single agency C. a sub agency...

TN State Exam Practice 1 Questions and Answers Already Passed In Tennessee, what's the minimum age to earn a real estate license? 16 18 21 25 18 Which of the following is the most accurate definition of the word "creed"? A disability A national culture A set of beliefs A system of racial categorization A set of beliefs TREC and any committee created under TREC is entitled to whose legal services? The district attorney of the county in which TREC operates The ...

After reading the new account insert in his monthly statement, Tony Mercadante determined that the FDIC considers a joint account as a separate depositor. He and his wife, Cynthia, have three accounts at ABC Bank & Trust, one joint account with a balance of $60,000 and two individual account - his has a $150,000 balance, and hers has a $254,000 balance. What amount of FDIC coverage do Tony and Cynthia have on their accounts? correct answers Tony's account balance of $150,000 is completely cover...