COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
The license of a motor vehicle salesperson or power-sports salesperson may be denied, revoked or
suspended on any of the following grounds except: - (answer)b) advertising a salvaged vehicle while
identifying the vehicle as a salvage vehicle
According to colorado law, which of the following must be licensed as a motor vehicle dealer and or
powersports dealer? - (answer)d) All of the above
Colorado Lemon law covers: - (answer)c)defects that substantially impair the market value of a vehicle
Three of the following are required to be disclosed in an advertisement when a dealer is
advertisement a closed end credit sale of a mother vehicle or powersports...except? - (answer)d) tax
rate
The motor vehicle dealer board is authorized and empowered to: - (answer)D)all of the above
Local law enforcement officers must be notified within ___ hours before or after the repossession of a
motor vehicle occurs: - (answer)A)1 hours
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on their principal
place of business if: - (answer)B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold - (answer)B) false (verify)
The motor vehicle dealer board may be decide how large a fine to impose on a dealer who sells
primarily vehicles that weigh 1,500 pounds or more so long as it does not exceed 5k - (answer)a)True
(verify)
The Colorado's consumer protection act declares bait and switch advertising to be deceptive trade
practice. Bait and switch advertising includes which of the following - (answer)d)all of the above
,COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
Three of the following types of motor vehicles are exempt from the truth in mileage act. Which one is
not exempt? - (answer)B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members - (answer)c)three employees from
the enforcement division
What is the highest fine per offense that the motor vehicle dealer board or an administrative law
judge may impose on a dealer , who sells primarily vehicles that weigh less than 1,500 pounds -
(answer)$1,000
Three of the following are characteristics of an off-premise permit. . Which one is not? - (answer)The
permit cannot exceed six days except for the national western stock show, the colorado state fair,
greely stampede
Which of the following is a true statement regarding dealers and buyers? - (answer)B) a dealer shall
clearly indicate on the costumer contract when a vehicle sold "as is" and without a guarantee
When advertising a specific number of motor vehicles that same number of vehicles must have been
invoiced to the dealer - (answer)A)True
Dealers must either be self insured or have insurance for their vehicles - (answer)A)True
In transit plates may be used on motor vehicles - (answer)D) consigned to wholesale auction dealers
for transport from point of purchase to point of storage
When a salesperson leaves a dealer, that dealer must do all of the following except -
(answer)Immediately employ a new salesperson, licensed or not
The license of a new or used dealer, wholesale auction dealer or wholesaler may be denied
suspended, revoked or fined for all of the following grounds except - (answer)Employing a properly
licensed salesperson
,COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
The only items that can be added to an advertised price are - (answer)C) Dealer handling and
preparation charges
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked, or
suspended on any of the following grounds except: - (answer)D)using point of sale literature in
advertising
A buyer agent may - (answer)be retained or hired by a consumer to assist, represent, or act on behalf
of such
consumer in connection with the purchase or lease of a motor vehicle
Three of the following are deceptive trade practices. Which of the following is not? -
(answer)Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a temporary permit? -
(answer)Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000.... - (answer)15 Days
A new motor vehicle has three of the following characteristics. Which one doesn't it have? -
(answer)D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how many days to
report conviction? - (answer)A ) 30 Days
Three of the following are require when a dealer is advertising a lease of a a motor vehicle or
powersports vehicle with a payment amount which one is not required? - (answer)D) disclosing the
cost of leasing versus the cost of purchasing
, COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
The definition of a used mother vehicle dealer or used powersports dealer includes which of the
following ? - (answer)A person who attempts to negotiate a sale or lease of a used motor vehicle or
powersports vehicle with the intent to make a profit or gain
A customer's trade- in vehicle on a financed deal may be sold - (answer)D) only when the financing
has been approved
Wholesalers : - (answer)C)must use a name other than their personal name on all business documents
A dealer is required to have on file the licenses of each of their employed salespersons but need not
display them in their place of business - (answer)False
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked or
suspended on the following grounds - (answer)D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer - (answer)B)
False
A salesperson can change dealerships during the licensing year provided that the correct form and fee
is submitted to the board such sales person may begin work as a motor vehicle salespersons or
powersports salesperson while awaiting a new license from the board - (answer)B) False
Records of vehicles transfers and odometer statements must be retained for: - (answer)C) 5 year
Motor vehicle dealers, powersport dealers, used motor vehicle dealers, used powersports dealers or
wholesalers are not required to report to the dealer board - (answer)B) any change in the hours of
operation of the business when the business continues full time (review)
Which of the following would indicate a motor vehicle is "used" - (answer)A certificate of title has
been issued
The license of a motor vehicle salesperson or power-sports salesperson may be denied, revoked or
suspended on any of the following grounds except: - (answer)b) advertising a salvaged vehicle while
identifying the vehicle as a salvage vehicle
According to colorado law, which of the following must be licensed as a motor vehicle dealer and or
powersports dealer? - (answer)d) All of the above
Colorado Lemon law covers: - (answer)c)defects that substantially impair the market value of a vehicle
Three of the following are required to be disclosed in an advertisement when a dealer is
advertisement a closed end credit sale of a mother vehicle or powersports...except? - (answer)d) tax
rate
The motor vehicle dealer board is authorized and empowered to: - (answer)D)all of the above
Local law enforcement officers must be notified within ___ hours before or after the repossession of a
motor vehicle occurs: - (answer)A)1 hours
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on their principal
place of business if: - (answer)B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold - (answer)B) false (verify)
The motor vehicle dealer board may be decide how large a fine to impose on a dealer who sells
primarily vehicles that weigh 1,500 pounds or more so long as it does not exceed 5k - (answer)a)True
(verify)
The Colorado's consumer protection act declares bait and switch advertising to be deceptive trade
practice. Bait and switch advertising includes which of the following - (answer)d)all of the above
,COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
Three of the following types of motor vehicles are exempt from the truth in mileage act. Which one is
not exempt? - (answer)B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members - (answer)c)three employees from
the enforcement division
What is the highest fine per offense that the motor vehicle dealer board or an administrative law
judge may impose on a dealer , who sells primarily vehicles that weigh less than 1,500 pounds -
(answer)$1,000
Three of the following are characteristics of an off-premise permit. . Which one is not? - (answer)The
permit cannot exceed six days except for the national western stock show, the colorado state fair,
greely stampede
Which of the following is a true statement regarding dealers and buyers? - (answer)B) a dealer shall
clearly indicate on the costumer contract when a vehicle sold "as is" and without a guarantee
When advertising a specific number of motor vehicles that same number of vehicles must have been
invoiced to the dealer - (answer)A)True
Dealers must either be self insured or have insurance for their vehicles - (answer)A)True
In transit plates may be used on motor vehicles - (answer)D) consigned to wholesale auction dealers
for transport from point of purchase to point of storage
When a salesperson leaves a dealer, that dealer must do all of the following except -
(answer)Immediately employ a new salesperson, licensed or not
The license of a new or used dealer, wholesale auction dealer or wholesaler may be denied
suspended, revoked or fined for all of the following grounds except - (answer)Employing a properly
licensed salesperson
,COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
The only items that can be added to an advertised price are - (answer)C) Dealer handling and
preparation charges
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked, or
suspended on any of the following grounds except: - (answer)D)using point of sale literature in
advertising
A buyer agent may - (answer)be retained or hired by a consumer to assist, represent, or act on behalf
of such
consumer in connection with the purchase or lease of a motor vehicle
Three of the following are deceptive trade practices. Which of the following is not? -
(answer)Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a temporary permit? -
(answer)Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000.... - (answer)15 Days
A new motor vehicle has three of the following characteristics. Which one doesn't it have? -
(answer)D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how many days to
report conviction? - (answer)A ) 30 Days
Three of the following are require when a dealer is advertising a lease of a a motor vehicle or
powersports vehicle with a payment amount which one is not required? - (answer)D) disclosing the
cost of leasing versus the cost of purchasing
, COLORADO CAR SALES MASTERY EXAM QUESTIONS AND ANSWERS 2025
The definition of a used mother vehicle dealer or used powersports dealer includes which of the
following ? - (answer)A person who attempts to negotiate a sale or lease of a used motor vehicle or
powersports vehicle with the intent to make a profit or gain
A customer's trade- in vehicle on a financed deal may be sold - (answer)D) only when the financing
has been approved
Wholesalers : - (answer)C)must use a name other than their personal name on all business documents
A dealer is required to have on file the licenses of each of their employed salespersons but need not
display them in their place of business - (answer)False
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked or
suspended on the following grounds - (answer)D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer - (answer)B)
False
A salesperson can change dealerships during the licensing year provided that the correct form and fee
is submitted to the board such sales person may begin work as a motor vehicle salespersons or
powersports salesperson while awaiting a new license from the board - (answer)B) False
Records of vehicles transfers and odometer statements must be retained for: - (answer)C) 5 year
Motor vehicle dealers, powersport dealers, used motor vehicle dealers, used powersports dealers or
wholesalers are not required to report to the dealer board - (answer)B) any change in the hours of
operation of the business when the business continues full time (review)
Which of the following would indicate a motor vehicle is "used" - (answer)A certificate of title has
been issued
