it was never executed. The first transaction at 38.75 elected the order, but since it was both a stop order and a limit order, there was never another transaction at 38.75. Consequently, Bubba’s order was never executed.

US treasury notes. Savings bank deposits have no risk. The short duration of treasury bills and certificates embodies less market risk than longer-term treasury notes.

all of the above. A broker/dealer must demonstrate that what is said or printed about a product is not fraudulent. Representing a mutual fund as safer than any of the choices above is likely fraudulent.

a pension fund. Since the pension fund does not pay income tax, the tax benefits of the municipal bonds are not realized.

after approval by a majority vote of the shareholders. All vital interests of the shareholders are subject to their majority vote.

cannot be determined. Bubba can put away the calculator. The warrant is “perpetual” so the value is not determinable from today’s price of the common stock.

general obligation. A limited tax bond is generally classified as general obligation.

agency sales OTC. Markup policy applies to basically all securities other than government and municipal offerings expect where the security is offered under a current prospectus. Choices C and D are offered under a prospectus. Choice B involves municipal securities. Therefore, choice A is the only correct answer.

one-tenth of one cent. A point equals $10 and a basis point equals ten cents.

physically protects the fund’s assets. The custodian holds the assets of the fund. The transfer agent redeems and issues fund shares.