Series 52

Study Question of the Week: May 21, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 7, Series 52, and Series 53. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 7, Series 52, and Series 53):

The spread in a municipal underwriting is equal to:

Answers:

A. the manager’s fee plus the total takedown

B. the manager’s fee plus the additional takedown

C. the additional takedown plus the concession fee

D. the total takedown plus the additional takedown

Correct Answer: A. the manager’s fee plus the total takedown

Rationale: The spread consists of the manager’s fee plus the total takedown. The total takedown may be further broken down into the additional takedown and the concession fee.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Study Question of the Week: May 14, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 7, Series 51, Series 52, Series 53, Series 62, Series 79, Series 82, and Series 99. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 7, Series 51, Series 52, Series 53, Series 62, Series 79, Series 82, and Series 99):

Why would a bond issuer decide to issue an advance refunding bond?

Answers:

A. Because interest rates have risen

B. To lock into the current lower interest rates

C. Because the CPI has gone up

D. To try to increase the yield on their bond issue

Correct Answer: B. To lock into the current lower interest rates

Rationale: A bond refunding is the replacement of existing bonds with new “refunding“ bonds. The issuer of refunding bonds seeks to lower its interest payments by paying off its previously issued (refunded) bonds with newly issued bonds that pay a lower interest rate. An advance refunding bond refers to one in which more than 90 days must elapse before the refunded bond can be retired. An issuer typically uses advance refunding when interest rates have dropped significantly, but the next call date is not in the near future. An advance refunding bond allows the issuer to lock in the lower interest rates now without risking that they rise before the call date arrives.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Study Question of the Week: May 7, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 6, Series 7, Series 52, Series 62, Series 65, and Series 66. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 6, Series 7, Series 52, Series 62, Series 65, and Series 66):

Concerning municipal bonds issued by the city of Baltimore, Maryland:

Answers:

A. If you live in the state of Maryland, you will pay state tax on the interest you earn

B. If you live in the state of Virginia, you will not pay state tax on the interest you earn

C. If you live in the state of Maryland, you will pay federal capital gains tax on any profits you realize when you sell the bonds

D. If you live in the state of Virginia, you will not pay federal capital gains tax on any profits you realize when you sell the bonds

Correct Answer: C. If you live in the state of Maryland, you will pay federal capital gains tax on any profits you realize when you sell the bonds

Rationale: Interest income earned on municipal bonds is not taxable at the federal level, and only taxable at the state level outside the state of their issuance. Capital gains realized upon the sale of such bonds are subject to capital gains tax regardless of the taxpayer’s state of residence.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Amazing Pass Rates!

For over 10 years Solomon Exam Prep has been devoted to helping students to prepare effectively for various securities and insurance licensing exams. We pride ourselves on our customer service and easy-to-use products that make the studying process as painless as possible. Continue reading

For over 10 years, Solomon Exam Prep has been devoted to helping students effectively prepare for various securities and insurance licensing exams. We pride ourselves on our customer service and easy-to-use products that make the studying process as painless as possible.

Solomon Exam Prep has recently published a brand-new line of materials for the MSRB Series 51, Series 52 and Series 53 exams. We are pleased to report that our early Series 52 and Series 53 students have all passed their exams!

We keep track of our students through BrokerCheck and keep in contact with them via e-mail. “We are excited to announce a 93% pass rate across all of our exams,” said president Jeremy Solomon. We are constantly publishing more materials and updating our current materials, which is how we can maintain such a high pass rate. Our Series 7 boasts a 95.0% first time pass rate, Series 82— 97.4%, Series 55— 96.9%, and Series 63— 93.6% just to name a few.

Are you studying for your FINRA, NASAA, or MSRB exams? Order now and be a part of our amazing pass rate!

Study Question of the Week: April 9, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 6, Series 7, Series 24, Series 26, Series 52, Series 53, Series 66, Series 79, and Series 99. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 6, Series 7, Series 24, Series 26, Series 52, Series 53, Series 66, Series 79, and Series 99):

Which of the following are correct dollar minimums for the Bank Secrecy Act’s requirements for broker-dealers?

I. $3,000 or more received or transmitted must be recorded in a monetary instrument log (MIL)

II. $5,000 or more received or transmitted must be recorded in a monetary instrument log (MIL)

III. Cash transaction of $5,000 or more must be reported to the IRS

IV. Cash transaction of $10,000 or more must be reported to the IRS

Answers:

A. I and III

B. I and IV

C. II and III

D. II and IV

Correct Answer: B. I and IV

Rationale: In any one day, a transmittal of $3,000 or more or a cash transaction must be recorded in a monetary instrument log (MIL) and cash transaction of $10,000 or more must be reported to the IRS.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Study Question of the Week: March 26, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 7, Series 51, Series 52, Series 53, and Series 99. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 7, Series 51, Series 52, Series 53, and Series 99):

Sam, an agent, is passionate about politics. He lives in State A and works in State B. He wants to contribute money to some campaigns for public office in each state, but is also hoping to engage in municipal securities business with each state. Where can Sam make contributions?

Answers:

A. State A only

B. State B only

C. State A and State B

D. Neither State A nor State B

Correct Answer: A. State A only

Rationale: Agents are allowed to make contributions to candidates that they could vote for, up to $250 per election. Contributions to other candidates would result in bans from doing municipal securities business with the municipal issuer where the candidate is running for office.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Testimonial Tuesday: March 25, 2014 Edition

It appears you hit the nail on the head with the new exam prep for the Series 52. I passed on the first attempt. Continue reading

“It appears you hit the nail on the head with the new exam prep for the Series 52. I passed on the first attempt.”
-Michael Earl, Vienna, WV

Read more reviews here: Solomon Exam Prep Reviews

Study Question of the Week: February 5, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 6, Series 24, Series 26, Series 52, Series 62, Series 79, and Series 82. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 6, Series 24, Series 26, Series 52, Series 62, Series 79, and Series 82):

When must a Suspicious Activity Report be filed under the Bank Secrecy Act?

Answers:

A. Within 15 days of the transaction

B. Within 15 days of discovery

C. Within 30 days of the transaction

D. Within 30 days of discovery

Correct Answer: D. Within 30 days of discovery

Rationale: The Bank Secrecy Act requires that money service businesses file Suspicious Activity Reports (SARs) within 30 days of becoming aware of any suspicious transaction that is required to be reported. In the securities business, suspicious transactions are required to be reported if they involve $5,000 or more. A copy of the report must be kept for five years.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.

Solomon Exam Prep Launches “Series 52 MSRB Municipal Securities Representative Qualification Exam” Study Program

Solomon Exam Prep is excited to announce the launch of the Solomon Exam Prep study program for the Municipal Securities Rulemaking Board’s Series 52 Municipal Securities Representative Qualification Exam. Continue reading

Individuals who pass the Series 52 exam qualify to be a Municipal Securities Representative and may work in multiple capacities relating to municipal securities, including underwriting, sales, trading, advising, and consulting with issuers, research, investment advising, and communicating with public investors about municipal securities, including US government and agency securities.

Since November 7, 2011 when FINRA revamped the Series 7 General Securities Representative Examination by de-emphasizing non-sales activities and by reducing the number of municipal securities questions, in the context of municipal securities passing the Series 7 only qualifies a registered person to be involved in the purchase and sale of municipal securities to customers, a qualification called the Municipal Securities Sales Limited Representative. However, anyone who passed the Series 7 before November 7, 2011 is grandfathered into the Municipal Securities Representative category provided the individual has kept their Series 7 license current.

For representatives whose activities are limited solely to municipal fund securities (i.e. 529 College Savings Plans and Local Government Investment Pools), the MSRB says those who pass the Series 6 exam are a “Municipal Securities Representative qualified by virtue of being a Limited Representative Investment Company and Variable Contracts Products.”

The Series 52 is a pre-requisite exam for the Series 53 Municipal Securities Principal Exam.

The Municipal Securities Representative Qualification Exam is written by the MSRB but it is administered by FINRA who charges $180 for the pleasure of taking the Series 52. The exam contains 115 questions, each worth 1 point. The individual is given 3 and one-half hours to complete the exam, and a minimum score of 70% is needed to pass.

The exam is broken down in to 4 distinct topic areas which are weighted differently:

Municipal Securities – 57%

U.S. Government, Federal Agency and Other Financial Instruments – 4%

Economic Activity, Government Policy and the Behavior of Interest Rates – 13%

Federal Legal Considerations – 26%

For more information and a complete break-down of the topics in the exam, visit http://www.msrb.org/Rules-and-Interpretations/Professional-Qualification.aspx

Study Question of the Week: January 29, 2014 Edition

This week’s study question from the Solomon Online Exam Simulator question database is now available. Relevant to the Series 7, Series 24, Series 52, Series 62, Series 65, and Series 82. –ANSWER POSTED– Continue reading

This week’s study question from the Solomon Online Exam Simulator question database is now available.

Study ? of the Week

Question (Relevant to the Series 7, Series 24, Series 52, Series 62, Series 65, and Series 82):

How much would you pay for a $1,000 10-year Treasury bond priced at 101.08 (excluding accrued interest)?

Answers:

A. $1,010.80

B. $10,108.00

C. $1,012.50

D. $1,010.25

Correct Answer: C. $1,012.50

Rationale: Treasury bonds are typically priced in percentage points of par and in fractions of 32nds of percentage points. For example the .08 of the quote should be understood as 8/32nds of a percentage point or .25%. Thus, 101.08 is equivalent to 101.25% of par which is $1,000 x 101.25 which is $1,012.50.

Weekly study questions are from Solomon’s industry-leading Online Exam Simulator.