STATE OF COLORADO SALES LICENSE EXAMS SCRIPT
2025/2026 QUESTIONS AND ANSWERS GRADED A+
✔✔Licensed dealers may sell which of the following on Sundays? - ✔✔The selling of
boat trailers and snowmobile are exempt
✔✔Which of the following steps are required to properly and legally repossess a motor
vehicle? - ✔✔effect a lien creating a security interest, Allow the required payment to
default (become at least 10 days late), send or hand deliver a "right to cure" letter to the
debtor and allow the debtor 20 days to cure
✔✔An advertisement may include - ✔✔licensed name with the word DEALER
✔✔which of the following is a used vehicle? - ✔✔any vehicle that has been previously
bought a demo vehicle with 1500 miles
✔✔Which of the following are deceptive trade practices? - ✔✔All of the above
Bait and switch
✔✔How many temp permits may a dealer issue for each roadworthy vehicle sold? -
✔✔1
An extension can only be issued but the DMV
✔✔Depot plates may be used during normal business hours to transport a motor
vehicle - ✔✔all of the above
All plates
✔✔Three of the following are required when a dealer is advertising a lease of a motor
vehicle with a payment amount - ✔✔~Amount or percentage of the down payment
~terms of repayment (car payment date)
~Annual percentage rate (interest rate of the loan)
✔✔which is NOT required when advertising a lease? - ✔✔disclosing the cost of lease
vs purchasing
✔✔Prominently and conspicuously display the ________? - ✔✔FTC Buyer's Guide
✔✔A temp registration permit may be issued: - ✔✔-for 60 days in a B2C sale-for 7 days
in a B2B sale
✔✔Motor Vehicle salesmen are required to have a surety bond in the amount of $30k -
✔✔False, $15,000
, ✔✔If a salesperson leaves a dealership during the licensing year and becomes
employed at another dealership they must acquire a new license for the unexpired
portion of their returned license from the board - ✔✔TRUE
✔✔A Motor Vehicle salesperson may work for more than 1 dealership during one year -
✔✔TRUE
✔✔All Motor Vehicle dealers and dealers must post a clear legible sign on their place of
business if: - ✔✔they will be open less than 40 hours per week
✔✔A Motor vehicle salesman can be personally liable for any proven claim or
judgement in excess of their surety bond - ✔✔TRUE
✔✔Licensed Motor vehicle dealers - ✔✔must be open for business at least three
(3)days per week for a continuous period of time
not less than four (4) hours per day between the hours of8 a.m. and 9 p.m.
✔✔The license of a new or used dealer/wholesale/auctioneer/ may be
denied/suspended/revoked/fined for all the following except: - ✔✔attempting to
negotiate the sale or lease of a Motor vehicle with intent to make profit or gain
✔✔Federal odometer law declares it unlawful to do the following: - ✔✔operate Motor
vehicle on any street with intent to defraud knowing the odometer is disconnected
✔✔A dealer has how many days to facilitate delivery from the date of sale? - ✔✔30
Days
✔✔Which of the following is NOT proof of ownership for a Motor Vehicle for a CO
dealer? - ✔✔a vehicle subject to a lien on the title
✔✔a dealers ad must contain the dealers licensed name and the words - ✔✔Dealer
✔✔federal cash reporting requires dealers to file form 8300 with IRS within how many
days of receiving $10,000 cash? - ✔✔15 days
✔✔Wholesalers may? - ✔✔Sell to dealers and other wholesalers
or
Make a profit or gain selling to dealers and wholesalers
✔✔The license of a Motor vehicle salesman may be revoked/suspended on the
following grounds: - ✔✔Violating any of the terms and provisions
2025/2026 QUESTIONS AND ANSWERS GRADED A+
✔✔Licensed dealers may sell which of the following on Sundays? - ✔✔The selling of
boat trailers and snowmobile are exempt
✔✔Which of the following steps are required to properly and legally repossess a motor
vehicle? - ✔✔effect a lien creating a security interest, Allow the required payment to
default (become at least 10 days late), send or hand deliver a "right to cure" letter to the
debtor and allow the debtor 20 days to cure
✔✔An advertisement may include - ✔✔licensed name with the word DEALER
✔✔which of the following is a used vehicle? - ✔✔any vehicle that has been previously
bought a demo vehicle with 1500 miles
✔✔Which of the following are deceptive trade practices? - ✔✔All of the above
Bait and switch
✔✔How many temp permits may a dealer issue for each roadworthy vehicle sold? -
✔✔1
An extension can only be issued but the DMV
✔✔Depot plates may be used during normal business hours to transport a motor
vehicle - ✔✔all of the above
All plates
✔✔Three of the following are required when a dealer is advertising a lease of a motor
vehicle with a payment amount - ✔✔~Amount or percentage of the down payment
~terms of repayment (car payment date)
~Annual percentage rate (interest rate of the loan)
✔✔which is NOT required when advertising a lease? - ✔✔disclosing the cost of lease
vs purchasing
✔✔Prominently and conspicuously display the ________? - ✔✔FTC Buyer's Guide
✔✔A temp registration permit may be issued: - ✔✔-for 60 days in a B2C sale-for 7 days
in a B2B sale
✔✔Motor Vehicle salesmen are required to have a surety bond in the amount of $30k -
✔✔False, $15,000
, ✔✔If a salesperson leaves a dealership during the licensing year and becomes
employed at another dealership they must acquire a new license for the unexpired
portion of their returned license from the board - ✔✔TRUE
✔✔A Motor Vehicle salesperson may work for more than 1 dealership during one year -
✔✔TRUE
✔✔All Motor Vehicle dealers and dealers must post a clear legible sign on their place of
business if: - ✔✔they will be open less than 40 hours per week
✔✔A Motor vehicle salesman can be personally liable for any proven claim or
judgement in excess of their surety bond - ✔✔TRUE
✔✔Licensed Motor vehicle dealers - ✔✔must be open for business at least three
(3)days per week for a continuous period of time
not less than four (4) hours per day between the hours of8 a.m. and 9 p.m.
✔✔The license of a new or used dealer/wholesale/auctioneer/ may be
denied/suspended/revoked/fined for all the following except: - ✔✔attempting to
negotiate the sale or lease of a Motor vehicle with intent to make profit or gain
✔✔Federal odometer law declares it unlawful to do the following: - ✔✔operate Motor
vehicle on any street with intent to defraud knowing the odometer is disconnected
✔✔A dealer has how many days to facilitate delivery from the date of sale? - ✔✔30
Days
✔✔Which of the following is NOT proof of ownership for a Motor Vehicle for a CO
dealer? - ✔✔a vehicle subject to a lien on the title
✔✔a dealers ad must contain the dealers licensed name and the words - ✔✔Dealer
✔✔federal cash reporting requires dealers to file form 8300 with IRS within how many
days of receiving $10,000 cash? - ✔✔15 days
✔✔Wholesalers may? - ✔✔Sell to dealers and other wholesalers
or
Make a profit or gain selling to dealers and wholesalers
✔✔The license of a Motor vehicle salesman may be revoked/suspended on the
following grounds: - ✔✔Violating any of the terms and provisions
