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AFIP TEST FINAL EXAM AND PRACTICE EXAM
QUESTIONS 2025/ 2026 NEWEST ACTUAL EXAM
COMPLETE 450 QUESTIONS WITH DETAILED
VERIFIED ANSWERS /A+ STUDY MATERIAL| LATEST
EXAM!!!
(True/False): Ignorance of the law will shield you from
liability if you are noncompliant. - Answer-False
(True/False): As an F&I manager working directly with
customers, you are individually responsible for your
actions and what you say to each customer. - Answer-True
In a typical credit transaction the (bank)/(dealer) is the
creditor. - Answer-The dealer is the creditor
What is a contract? - Answer-A contract is an agreement
involving a promise or set of promises that the law
enforces or protects.
The formation of a contract requires three elements: -
Answer-1. Offer
2. Acceptance
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3. Consideration
An offer consists of three elements: - Answer-1. An
expression of a promise or commitment (intent) to enter a
contract
2. An expression of definite and certain terms
3. The communication of the offer to the offeree (in this
case, the customer)
An offer may be terminated by: - Answer-1. An act of the
parties
2. The operation of law
There are three criteria for the acceptance of an offer: -
Answer-1. The offer is accepted by one who is entitled to
accept
2. The acceptance takes the proper form and is timely
3. The terms of acceptance reflect closely the terms of the
offer and, therefore, do not amount to a counteroffer
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The Statute of Frauds - Answer-Generally requires that all
contracts involving the sale of goods for a price of $500 or
more be in writing.
The Statute of Frauds requires a written contract for the
sale of goods for a price of _______ or more. - Answer-
$500
What is required in order for the parties (the individuals
entering into the contract) to have "legal capacity?" -
Answer-The parties to the contract must be of legal age
under the laws of the state in which the contract is written.
Criteria that can block the formation of a valid contract: -
Answer-1. The need for a written agreement under the
Statute of Frauds and certain provisions of the Uniform
Commercial Code (U.C.C.)
2. The need for legal capacity of a party to contract
3. The act of fraudulent inducement
What is "consideration" as it applies to a contract? -
Answer-The requirement that each party to the contract
receives something of value in exchange for what is given.
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Finance Charge - Answer-The Finance Charge is the
resulting dollar amount calculated by applying the Annual
Percentage Rate to the Amount Financed over the term of
the contract.
How the Itemization of Amount Financed is completed -
Answer-1. Cash Price (Agreed to price of vehicle)
2. Total Downpayment
3. Unpaid Balance of Cash Price(Cash Price-
Downpayment)
4. Other Charges (GAP, VSC, Etc.)
5. Amount Financed
4 Key Sections of an installment sale contract - Answer-
Section A) General Information -- Identifies the parties to
the agreement.
Section B) Mandated Disclosures -- Disclosures required
by TILA
AFIP TEST FINAL EXAM AND PRACTICE EXAM
QUESTIONS 2025/ 2026 NEWEST ACTUAL EXAM
COMPLETE 450 QUESTIONS WITH DETAILED
VERIFIED ANSWERS /A+ STUDY MATERIAL| LATEST
EXAM!!!
(True/False): Ignorance of the law will shield you from
liability if you are noncompliant. - Answer-False
(True/False): As an F&I manager working directly with
customers, you are individually responsible for your
actions and what you say to each customer. - Answer-True
In a typical credit transaction the (bank)/(dealer) is the
creditor. - Answer-The dealer is the creditor
What is a contract? - Answer-A contract is an agreement
involving a promise or set of promises that the law
enforces or protects.
The formation of a contract requires three elements: -
Answer-1. Offer
2. Acceptance
,2|Page
3. Consideration
An offer consists of three elements: - Answer-1. An
expression of a promise or commitment (intent) to enter a
contract
2. An expression of definite and certain terms
3. The communication of the offer to the offeree (in this
case, the customer)
An offer may be terminated by: - Answer-1. An act of the
parties
2. The operation of law
There are three criteria for the acceptance of an offer: -
Answer-1. The offer is accepted by one who is entitled to
accept
2. The acceptance takes the proper form and is timely
3. The terms of acceptance reflect closely the terms of the
offer and, therefore, do not amount to a counteroffer
,3|Page
The Statute of Frauds - Answer-Generally requires that all
contracts involving the sale of goods for a price of $500 or
more be in writing.
The Statute of Frauds requires a written contract for the
sale of goods for a price of _______ or more. - Answer-
$500
What is required in order for the parties (the individuals
entering into the contract) to have "legal capacity?" -
Answer-The parties to the contract must be of legal age
under the laws of the state in which the contract is written.
Criteria that can block the formation of a valid contract: -
Answer-1. The need for a written agreement under the
Statute of Frauds and certain provisions of the Uniform
Commercial Code (U.C.C.)
2. The need for legal capacity of a party to contract
3. The act of fraudulent inducement
What is "consideration" as it applies to a contract? -
Answer-The requirement that each party to the contract
receives something of value in exchange for what is given.
, 4|Page
Finance Charge - Answer-The Finance Charge is the
resulting dollar amount calculated by applying the Annual
Percentage Rate to the Amount Financed over the term of
the contract.
How the Itemization of Amount Financed is completed -
Answer-1. Cash Price (Agreed to price of vehicle)
2. Total Downpayment
3. Unpaid Balance of Cash Price(Cash Price-
Downpayment)
4. Other Charges (GAP, VSC, Etc.)
5. Amount Financed
4 Key Sections of an installment sale contract - Answer-
Section A) General Information -- Identifies the parties to
the agreement.
Section B) Mandated Disclosures -- Disclosures required
by TILA
