CFA ATF & State Transfer Regulations 3

Question 1

When conducting an FFL compliance inspection, ATF Industry Operations Investigators (IOIs) may inspect a dealer's records and inventory:

Accepted Answer

Once per year without a warrant, or at any time in connection with a criminal investigation

Answer

Under 18 U.S.C. § 923(g), ATF may conduct warrantless compliance inspections of FFL dealers once per calendar year, or any time in connection with a criminal investigation.

Question 2

A pawnbroker in a state with no additional restrictions takes in a handgun as collateral. The original owner redeems the firearm 90 days later. Which statement is correct?

Accepted Answer

A new Form 4473 and NICS check are required when the owner redeems the firearm

Answer

ATF considers redemption of a pawned firearm a 'transfer,' so the pawnbroker must complete a new Form 4473 and run a NICS background check.

Question 3

Which of the following best describes the 'straw purchase' that appraisers and dealers must recognize?

Accepted Answer

A purchase where one person buys a firearm as the actual transferee for another person who is the true buyer

Answer

A straw purchase occurs when the listed buyer on Form 4473 is not the actual intended owner — this constitutes a federal felony under 18 U.S.C. § 922(a)(6).

Question 4

Under ATF rules, how long does an FFL dealer have to report a theft or loss of firearms from their inventory?

Accepted Answer

Immediately upon discovery, but no later than 48 hours

Answer

ATF regulations at 27 C.F.R. § 478.39a require FFLs to report theft or loss of firearms to ATF and local law enforcement within 48 hours of discovery.

Question 5

A firearms appraiser must evaluate a pre-1899 antique firearm. Which statement regarding federal transfer regulations is accurate?

Accepted Answer

Firearms manufactured before January 1, 1899 are generally exempt from GCA transfer requirements and FFL involvement

Answer

Under 18 U.S.C. § 921(a)(16), firearms manufactured before January 1, 1899 are defined as antiques and are generally exempt from GCA requirements including FFL transfer and Form 4473.

CFA Practice Test

CFA Practice Test

CFA ATF & State Transfer Regulations 3