WISCONSIN MOTOR VEHICLE SALESPERSON STUDY
GUIDE EXAM 2026/2027 QUESTIONS AND SOLUTIONS
RATED A+
✔✔Test Drives - ✔✔before any test drive,ask to see the drivers license
✔✔when is a contract required - ✔✔when closing a sale, when accepting down
payment deposits or title for trade in. if the contract is not approved in 2 days it gets
voided out and all payments/titles are returned
✔✔contract requirements - ✔✔1. name and address of dealer and customer
2. salespersons full name and 8 digits of the sales license
3.year make model and vin of all vehicles in the conract
4. chassis and finished yearof the model if they arent identical
5. warranties
6. price at delivery and components of that price
7. list of parts added or removed
8. penalty for customer for not accepting vehicle on delivery
✔✔"as is" vehicles - ✔✔"as-is" sales are legal. "as-is" must be clearly identified on the
purchase contract since dealership is not providing any warranty protection for customer
✔✔price protection - ✔✔certain conditions allow for price adjustments. manufacturers
dont have consistent practices on price protection. it is important to know each
manufacturer price policies. price protection contract must be complete in order to
adjust the price
✔✔contract price increases - ✔✔prices can be adjusted for
1.foreign vehicles (revaluation of us dollar by us government)
2. Tax increase on vehicles
--- Raising price after contract is signed for anything else is called "bushing" and is
illegal
✔✔trade in reappraisal - ✔✔the value of a trade in may be reappraised only if the trade
in vehicle has been damaged. if the parts have been removed or if the mileage exceeds
limits specified on purchase contract
✔✔off sales premise sales - ✔✔when a vehicle purchase contract is offered and
accepted away fro dealers licensed place of business the customer is allowed three
days to rethink the purchase. the customer can cancel the contract during the "cooling
off" period.give the customer two copies of notice of this right when purchase is signed
, ✔✔sales to minors - ✔✔contracts signed to minors are not binding and my be
cancelled. the minors parents/guardians must provide a notarized signature in "consent
to purchase" for a title and registration
✔✔cancelling a contract - ✔✔when delivery cant be made within fifteen days after the
anticipated delivery day on the contract the customer may cancel without penlty
✔✔prelease aggrements - ✔✔is an agreement to enter into a consumer lease of a
motor vehicle that will be available and ready to be delivered to a customer at a later
time
✔✔to make a prelease agreement binding you MUST - ✔✔1. provide customer with
lease terms required by law
2. complete lease agreement/j signatures of dealer and customer
3. give customer the exact copy of agreement with NO BLANK LINES except for the ID
number if vehicle isnt available at time of signing
4 dealer may cancel if credit isnt approved within ten days
✔✔non-acceptance penalty - ✔✔no prerelease agreement can subject a customer to a
penalty of more than five percent of capitalized cost of the vehicle if the customer fails to
take delivery of the vehicle
✔✔consignment sales - ✔✔licensed dealers may sell a vehicle for a private party on
consignment. although the dealer does not own the vehicle dealer is authorized to sell it
for the titled owner. only the licensed dealers may offer vehicles for sale on
consignment
✔✔warranty disclosure - ✔✔you must clearly identify any warranty or service contract
included with the vehicle on purchase contract. any warranty must be available and
delivered to customer
✔✔warranty transfer - ✔✔when manufacturers fail to accept responsibility of the
warranty the dealership is required to honor it. the warranty continues until it is fixed at
the warrantors expense
✔✔title and registration - ✔✔the DMV issues title, dealerships must show proof of
ownership in order to sell. the vehicle must be registered/license plates show proof of
this. dealerships must furnish customers with a temp/permanent plate before they can
legally operate. Motorcycles are exempt
✔✔transfer of ownership - ✔✔signing over manfacturer certificate of origin (MCO)
transfers ownership. MCO is the cars "birth certificate" it lists the manufacturer, delivery
point, assembly place, vin number, and vehicle make
title jumping is illegal in Wisconsin
GUIDE EXAM 2026/2027 QUESTIONS AND SOLUTIONS
RATED A+
✔✔Test Drives - ✔✔before any test drive,ask to see the drivers license
✔✔when is a contract required - ✔✔when closing a sale, when accepting down
payment deposits or title for trade in. if the contract is not approved in 2 days it gets
voided out and all payments/titles are returned
✔✔contract requirements - ✔✔1. name and address of dealer and customer
2. salespersons full name and 8 digits of the sales license
3.year make model and vin of all vehicles in the conract
4. chassis and finished yearof the model if they arent identical
5. warranties
6. price at delivery and components of that price
7. list of parts added or removed
8. penalty for customer for not accepting vehicle on delivery
✔✔"as is" vehicles - ✔✔"as-is" sales are legal. "as-is" must be clearly identified on the
purchase contract since dealership is not providing any warranty protection for customer
✔✔price protection - ✔✔certain conditions allow for price adjustments. manufacturers
dont have consistent practices on price protection. it is important to know each
manufacturer price policies. price protection contract must be complete in order to
adjust the price
✔✔contract price increases - ✔✔prices can be adjusted for
1.foreign vehicles (revaluation of us dollar by us government)
2. Tax increase on vehicles
--- Raising price after contract is signed for anything else is called "bushing" and is
illegal
✔✔trade in reappraisal - ✔✔the value of a trade in may be reappraised only if the trade
in vehicle has been damaged. if the parts have been removed or if the mileage exceeds
limits specified on purchase contract
✔✔off sales premise sales - ✔✔when a vehicle purchase contract is offered and
accepted away fro dealers licensed place of business the customer is allowed three
days to rethink the purchase. the customer can cancel the contract during the "cooling
off" period.give the customer two copies of notice of this right when purchase is signed
, ✔✔sales to minors - ✔✔contracts signed to minors are not binding and my be
cancelled. the minors parents/guardians must provide a notarized signature in "consent
to purchase" for a title and registration
✔✔cancelling a contract - ✔✔when delivery cant be made within fifteen days after the
anticipated delivery day on the contract the customer may cancel without penlty
✔✔prelease aggrements - ✔✔is an agreement to enter into a consumer lease of a
motor vehicle that will be available and ready to be delivered to a customer at a later
time
✔✔to make a prelease agreement binding you MUST - ✔✔1. provide customer with
lease terms required by law
2. complete lease agreement/j signatures of dealer and customer
3. give customer the exact copy of agreement with NO BLANK LINES except for the ID
number if vehicle isnt available at time of signing
4 dealer may cancel if credit isnt approved within ten days
✔✔non-acceptance penalty - ✔✔no prerelease agreement can subject a customer to a
penalty of more than five percent of capitalized cost of the vehicle if the customer fails to
take delivery of the vehicle
✔✔consignment sales - ✔✔licensed dealers may sell a vehicle for a private party on
consignment. although the dealer does not own the vehicle dealer is authorized to sell it
for the titled owner. only the licensed dealers may offer vehicles for sale on
consignment
✔✔warranty disclosure - ✔✔you must clearly identify any warranty or service contract
included with the vehicle on purchase contract. any warranty must be available and
delivered to customer
✔✔warranty transfer - ✔✔when manufacturers fail to accept responsibility of the
warranty the dealership is required to honor it. the warranty continues until it is fixed at
the warrantors expense
✔✔title and registration - ✔✔the DMV issues title, dealerships must show proof of
ownership in order to sell. the vehicle must be registered/license plates show proof of
this. dealerships must furnish customers with a temp/permanent plate before they can
legally operate. Motorcycles are exempt
✔✔transfer of ownership - ✔✔signing over manfacturer certificate of origin (MCO)
transfers ownership. MCO is the cars "birth certificate" it lists the manufacturer, delivery
point, assembly place, vin number, and vehicle make
title jumping is illegal in Wisconsin
