Knopman Marks SIE Exam Questions and Answers 100% Pass
10 views 0 purchase
Course
Knopman Maks SIE
Institution
Knopman Maks SIE
Knopman Marks SIE Exam Questions
and Answers 100% Pass
What is the standard settlement period for equity transactions?
T + 2, which means the transaction settles two business days after the trade date.
What is the term for the first day a stock is traded without its dividend entitlement?
...
1 Knopman Marks SIE Exam Questions and Answers 100 % Pass What is the sta ndard settlement period for equity transactions? ✔✔T + 2, which means the transaction settles two business days after the trade date. What is the term for the first day a stock is traded without its dividend entitlement? ✔✔ExDividend date . What is the final day a buyer can purchase stock to qualify for the upcoming dividend? ✔✔The business day immediately preceding the ex dividend date. How does the ex dividend date relate to the record date in the context of regular way tr ades? ✔✔It falls one business day before the record date. What type of equity security has a fixed rate and reacts to market changes similarly to a bond? ✔✔Preferred stock. 2 What is the term for the day when the board of directors announces a dividend, including its payment and record dates? ✔✔Declaration date, which must be announced at least 10 business days prior to the record date. What does "dividends in ar rears" refer to? ✔✔Unpaid dividend amounts that have been missed. How does the ex dividend date relate to the record date for cash settled trades? ✔✔It occurs the business day after the record date. What happens to the price of a secu rity on its ex dividend date? ✔✔The security's price will drop by the amount of the dividend on the morning of the exdividend date. What is a forward stock split? ✔✔A process where shareholders receive additional shares at a reduced price per share. 3 What constitutes long term capital gains? ✔✔Profits earned from selling securities held for over a year. How are long term capital gains taxed? ✔✔They are taxed at a favorable rate compared to ordinary income. Who is referred to as the nominal owner of a security? ✔✔The legal owner who is registered in name only, with another party being the actual beneficial owner. What is a proxy statement? ✔✔A document provided to shareholders containing information necessary for corporate voting. What is a reverse stock split? ✔✔A corporate action where fewer shares are issued at a higher price per share. What are rights in the context of stock ownership? 4 ✔✔They allow shareholders to maintain their proportional ownership if the company issues additional shares. What defines short term capital gains? ✔✔Profits from selling securities held for one year or less. How are s hortterm capital gains taxed? ✔✔They are taxed at the same rate as ordinary income. When are stock dividends taxed? ✔✔Taxation occurs when the investor sells the shares, not at the time of receipt. What does "street name" mean in ter ms of security registration? ✔✔A method where securities are registered in the broker dealer's name for convenience in transferring ownership. Transfer Agent ✔✔in charge of recording changes in owners hip of securities and recording the names of registered security holders
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller BrilliantScores. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $11.99. You're not tied to anything after your purchase.