Finra Exam Series-7 Topic 7 Question 73 Discussion

Actual exam question for Finra's Series-7 exam

Question #: 73
Topic #: 7

The Bubba Insurance Company is not incorporated. It consists of Bubba and his two brothers as general partners, who maintain an active securities account in the name of the company. If one of the partners should suddenly die, what course of actions should be undertaken by the registered representative at the brokerage?

Afreeze the account from further activity until a death certificate and new partnership agreement are furnished to the brokerage

Bno special action is required because the death of a single partner does not terminate the partnership agreement

Cdistribute the assets in the account to the surviving partners

Dexecute sell orders but do not accept buy orders or distribute assets from the account until a new partnership agreement is provided to the brokerage

Show Suggested Answer

Suggested Answer: D

predictions of recession in the economy. All of the other choices are technical market indicators. An economic forecast is ''fundamental'' market data.

by Deeanna at Aug 05, 2023, 02:36 PM

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Aleisha

21 days ago

Well, well, well, looks like Bubba's got himself in a real pickle this time. Time to call in the big guns!

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Rosenda

24 days ago

Alright, let's see if we can't untangle this Bubba-sized mess. Time to put on our thinking caps!

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Gilberto

1 months ago

Hold on to your hats, folks! This one's gonna be a real Bubba-licious challenge!

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Margurite

1 days ago

C) distribute the assets in the account to the surviving partners

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Kathryn

13 days ago

B) no special action is required because the death of a single partner does not terminate the partnership agreement

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Argelia

18 days ago

B) no special action is required because the death of a single partner does not terminate the partnership agreement

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Melinda

20 days ago

A) freeze the account from further activity until a death certificate and new partnership agreement are furnished to the brokerage

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Mitsue

22 days ago

A) freeze the account from further activity until a death certificate and new partnership agreement are furnished to the brokerage

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Loreta

1 months ago

Hmm, seems like a tricky situation. I hope the registered rep doesn't get caught in a 'web' of legal issues!

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Ronnie

1 days ago

A) freeze the account from further activity until a death certificate and new partnership agreement are furnished to the brokerage

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Rochell

3 days ago

I agree, it's definitely a complex situation that needs to be handled carefully.

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Lore

8 days ago

C) distribute the assets in the account to the surviving partners

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Tequila

20 days ago

B) no special action is required because the death of a single partner does not terminate the partnership agreement

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Orville

28 days ago

A) freeze the account from further activity until a death certificate and new partnership agreement are furnished to the brokerage

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Mammie

2 months ago

I'm not sure, but I think the best course of action would be to execute sell orders but not accept buy orders until a new partnership agreement is provided.

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Lindsay

2 months ago

This question is like a box of chocolates - you never know what you're gonna get!

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Honey

12 days ago

D) execute sell orders but do not accept buy orders or distribute assets from the account until a new partnership agreement is provided to the brokerage

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