Finra Series-7 Exam - Topic 4 Question 122 Discussion

Actual exam question for Finra's Series-7 exam

Question #: 122
Topic #: 4

[All Series-7 Questions]

To accommodate a customer's order to buy an over-the-counter stock, a broker/dealer is permitted to:

Asell him shares from the firm's inventory

Bsell these shares short to the customer

Cact as agent on this transaction

Dall of the above

Show Suggested Answer

Suggested Answer: D

all of the above. All of the choices are normal ways for the broker to fill the customer's order.

by Larue at Mar 04, 2026, 05:50 AM

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Andrew

24 hours ago

Definitely A) sell from inventory.

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Janna

6 days ago

I think the answer is D) all of the above.

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Katy

11 days ago

I think the answer might be D, all of the above, but I need to double-check the rules on short selling in this context.

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Linsey

16 days ago

I feel like all of the options could be correct in different scenarios, but I can't recall the specifics for selling short to the customer.

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Lovetta

22 days ago

I remember a practice question where we discussed the roles of brokers and dealers. I think option C is definitely correct, but I’m unsure about the others.

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Lauryn

27 days ago

I think the broker can sell shares from the firm's inventory, but I'm not sure if they can also act as an agent in this case.

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