Finra Exam Series-6 Topic 1 Question 68 Discussion

Actual exam question for Finra's Series-6 exam

Question #: 68
Topic #: 1

Mr. Investor has purchased 100 shares of the common stock of the Everyman Corporation. As such, which of the following is not a right that Mr. Investor has?

Athe right to receive dividends, if declared

Bthe right to vote on the members of Everyman's board of directors

Cthe right to vote on any proposed changes to the corporate bylaws

Dthe right to vote on the purchase of a major piece of property that Everyman is considering

Show Suggested Answer

Suggested Answer: A

Among other things, the trade confirmation that Anna receives must stipulate the items described in Selections I and III only. The trade confirmation that Anna receives from GetErDone must stipulate the time and date of the transaction, the number of shares sold, and the price at which they were sold. The exchange or ECN on which the transaction was executed is not provided on the confirmation statement. Whether GetErDone acted as a principal or a broker in the transaction does need to be stipulated, but in this instance GetErDone acted as a broker, not a principal. GetErDone did not itself buy the shares from Anna.

by Willard at Dec 10, 2023, 12:23 AM

Limited Time Offer

25%

Off

Get Premium Series-6 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Alonso

2 months ago

Option D is the correct answer, hands down. Unless Mr. Investor wants to start his own company, he should leave the major purchases to the experts.

upvoted 0 times

Eladia

7 days ago

D) the right to vote on the purchase of a major piece of property that Everyman is considering

upvoted 0 times

...

Rima

8 days ago

C) the right to vote on any proposed changes to the corporate bylaws

upvoted 0 times

...

Elliot

9 days ago

B) the right to vote on the members of Everyman's board of directors

upvoted 0 times

...

Pearly

19 days ago

A) the right to receive dividends, if declared

upvoted 0 times

...

Francoise

2 months ago

Option D, definitely. Mr. Investor may be the owner of 100 shares, but he's not the CEO. Let the professionals handle the big decisions!

upvoted 0 times

Matthew

30 days ago

C) the right to vote on any proposed changes to the corporate bylaws

upvoted 0 times

...

Macy

1 months ago

B) the right to vote on the members of Everyman's board of directors

upvoted 0 times

...

Leah

1 months ago

C) the right to vote on any proposed changes to the corporate bylaws

upvoted 0 times

...

Abel

2 months ago

A) the right to receive dividends, if declared

upvoted 0 times

...

Heidy

2 months ago

B) the right to vote on the members of Everyman's board of directors

upvoted 0 times

...

Maybelle

2 months ago

A) the right to receive dividends, if declared

upvoted 0 times

...

Sherita

3 months ago

Option D, no doubt. Shareholders don't need to be micromanaging the company's every move. That's what the board of directors is for!

upvoted 0 times

Serita

1 months ago

D) the right to vote on the purchase of a major piece of property that Everyman is considering

upvoted 0 times

...

Shanda

1 months ago

C) the right to vote on any proposed changes to the corporate bylaws

upvoted 0 times

...

Nickolas

2 months ago

B) the right to vote on the members of Everyman's board of directors

upvoted 0 times

...

Ashton

2 months ago

A) the right to receive dividends, if declared

upvoted 0 times

...

Gerri

3 months ago

I'm not sure about this question, but I think C) the right to vote on any proposed changes to the corporate bylaws is also not a right that Mr. Investor has.

upvoted 0 times

...

Maryann

3 months ago

I agree with Nikita, because as a common stockholder, Mr. Investor does not have the right to vote on major decisions like property purchases.

upvoted 0 times

...

Nikita

3 months ago

I think the answer is D) the right to vote on the purchase of a major piece of property.

upvoted 0 times

...

Paola

3 months ago

Hmm, this one's tricky. I'm tempted to say Option C, but I think Option D is the best choice here.

upvoted 0 times

Barb

2 months ago

I agree, Option C seems to be the right choice.

upvoted 0 times

...

Alex

2 months ago

I think Option C is the correct answer.

upvoted 0 times

...

Dierdre

2 months ago

I agree, Option D seems to be the best choice.

upvoted 0 times

...

Milly

2 months ago

I think Option D is correct.

upvoted 0 times

...

Anna

3 months ago

I agree, the shareholders don't get a say in every little thing the company does. That would just be chaos! Option D is the way to go.

upvoted 0 times

...

Glennis

3 months ago

I'm not sure, but I think it's C. Shareholders usually have a say in changes to the bylaws.

upvoted 0 times

...

Minna

3 months ago

I agree with Kiley. Shareholders don't typically vote on specific property purchases.

upvoted 0 times

...

Lauran

3 months ago

Option D is clearly the correct answer. As a shareholder, Mr. Investor doesn't have the right to vote on day-to-day business decisions like purchasing property.

upvoted 0 times

Lashawnda

2 months ago

Option D is clearly the correct answer. As a shareholder, Mr. Investor doesn't have the right to vote on day-to-day business decisions like purchasing property.

upvoted 0 times

...