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Finra Series-6 Exam - Topic 5 Question 52 Discussion

Actual exam question for Finra's Series-6 exam
Question #: 52
Topic #: 5
[All Series-6 Questions]

Which of the following statements about non-qualified employer-sponsored retirement plans is false?

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Suggested Answer: B

The true statement is that reinvested dividends and capital gain distributions count toward reaching a breakpoint under the rights of accumulation. The rights of accumulation are not something that all mutual funds with front-end loads must offer. There is no time limit on the accumulation period. The rights of accumulation and the letter of intent are two separate animals; neither has anything to do with the other.


by Annabelle at Dec 11, 2022, 06:23 AM

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Maryann
4 months ago
D sounds right, they can be funded or unfunded for sure!
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Brande
4 months ago
C is spot on, non-qualified plans don’t have to follow ERISA.
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Fannie
4 months ago
Wait, are you sure about B? I thought all earnings were taxed eventually.
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Caitlin
4 months ago
Totally agree, A is definitely correct!
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Rebbecca
4 months ago
A is true, employers can pick and choose.
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Alesia
5 months ago
I’m leaning towards D being the false statement, but I can’t recall if unfunded plans are really allowed. It’s confusing!
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Dominga
5 months ago
I practiced a similar question last week, and I remember that non-qualified plans don't have to follow ERISA rules, so C seems like it could be true.
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Tyisha
5 months ago
I'm not entirely sure, but I feel like B could be tricky since it talks about tax treatment, which is usually a key point in these questions.
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Emeline
5 months ago
I think the answer might be A because I remember something about employers having flexibility in who they offer plans to.
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Chandra
5 months ago
I'm a bit unsure about this one. I'll need to review my notes on the total cost concept and make sure I understand which logistics costs are relevant.
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Garry
5 months ago
I think accommodating special requirements in inpatient care isn't a primary focus of utilization reviews, but I might be mixing it up with other guidelines.
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Iesha
5 months ago
Okay, let's think this through step-by-step. The prescription is for Vicodin HP, which contains 10mg of Hydrocodone and 660mg of APAP. The script says 1 TAB QID PRN X10D, which means 1 tablet 4 times a day as needed for 10 days. So we need to calculate the total amount of Hydrocodone in the order.
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Quentin
9 months ago
I'm so hungry, I could eat a horse... or at least a non-qualified retirement plan. Wait, what was the question again?
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Nelida
9 months ago
Haha, I bet the person who wrote this question was really trying to trip us up. I'm betting on D as the false one.
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Luisa
9 months ago
Ah, tricky question! I'm going to go with A as the false one. I think non-qualified plans can discriminate more on who they cover.
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Rashida
8 months ago
I'm pretty confident it's B, the tax treatment is different for non-qualified plans.
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Elizabeth
9 months ago
I'm leaning towards D, I remember something about funding options.
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Nikita
9 months ago
I think it might be C, I'm not sure about the vesting requirements.
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Cammy
9 months ago
I agree with you, A seems like the false statement.
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Carmen
10 months ago
Hmm, I thought all employer-sponsored retirement plans had to follow ERISA, so I'm going with C as the false statement.
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Elmer
10 months ago
I'm pretty sure the correct answer is B. The earnings on non-qualified plans are taxed, unlike qualified plans.
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Denny
9 months ago
User 3: I'm pretty sure the correct answer is B. The earnings on non-qualified plans are taxed, unlike qualified plans.
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Mari
9 months ago
User 2: I disagree, I believe the correct answer is D. Non-qualified plans can be either funded or unfunded.
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Chantay
9 months ago
User 1: I think the correct answer is C. Non-qualified plans still have to follow ERISA's vesting requirements.
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Clay
11 months ago
I disagree, I think the false statement is A because employers do have to offer the plan to all employees over 21 years old.
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Juliann
11 months ago
I agree with Willow, C is false because non-qualified plans still have to follow ERISA's vesting requirements.
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Willow
11 months ago
I think the false statement is C.
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