Series 7 practice questionmediumAccount Documentation 1
Before a margin account may be opened, the firm must obtain the customer’s signed margin agreement promptly after account approval?
- Aa notarized stock power for every trade
- Bthe customer’s estate plan
- Cthe issuer’s annual report
- Dthe signed margin agreement promptly after account approval✓ Correct answer
Explanation
Why D — the signed margin agreement promptly after account approval
Accurate documentation and timely updates are core parts of account opening and maintenance. They support regulatory compliance, tax reporting, supervision, and the firm’s ability to evaluate suitability.
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