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Exam Name: General Securities Representative Examination (GS)
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Last Update: 2017-05-09
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NO.1 When a corporation dissolves, who gets paid first?
A. senior bond holders
B. the lawyer
C. the tax collector
D. bank lenders
Answer: C
Explanation: the tax collector. Taxes always have preference over any other creditors.
NO.2 The definition of debentures is:
A. a worthless security
B. a loan secured by real estate
C. collateralized securities
D. securities backed by the general credit of the issuers but no specific collateral
Answer: D
Series7 Time
Explanation: securities backed by the general credit of the issuers but no specific collateral. And in
the
case of some issuers, that may be fairly worthless.
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