Colorado Sales Test Questions with
Accurate Answers
The definition of a used motor 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
Motor vehicles may be sold on Sunday (s) - answer False
Selling, leasing, exchanging, renting with option to purchase, offering, or negotiating an
exchange of interest in three (3) or more motor vehicles or three (3) or more
powersports vehicles in any one calendar year, shall be prima facie evidence that a
person is engaged in the business of selling or leasing motor vehicles or powersports
vehicles - answer False
Colorado's Lemon Law covers - answer new self-propelled vehicles, including pickups
and vans
All motor vehicle dealers and powersports dealers must be open to inspection (of books
and records) by the motor vehicle board and its agents - answer Monday through Friday
from 9 A.M. to 5 P.M
If an advertisement for a closed-end credit sale contains the down payment amount,
payment amount, number of payments, and period of repayment, the annual
percentage rate does not need to be disclosed - answerFalse
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 1,500 pounds or more? - answer$10,000
Licensed powersport dealers may not sell powersports on Sunday(s) - answerFalse
The Motor Vehicle Dealer Board is authorized and empowered to - answer- Issue
licenses to and regulate wholsalers - impose a fine of up to $20,000 for each separate
offense - act as an enforcement arm in licensing and regulation
By definition, an advertisement may include any commercial message on any computer
display or window display which is delivered or made available to a customer or
prospective customer in any manner whatsoever - answerFalse
Which of the following is true about Colorado's Lemon Law? - answera "reasonable
number of attempts" to repair applies when the motor vehicle has been out of service for
, repairs a cumulative total of 30 or more business days during the warranty term or 1
year from date of delivery
The license of a wholesale auction dealer or wholesaler may be denied, suspended,
revoked or fined for the following - answerAttempting to negotiate the sale, lease, or
exchange of an interest in motor vehicles to persons other than new or used dealers,
wholesalers, or wholesale auction dealers
The license of a motor vehicle salesperson or a powersports salesperson may be
denied. revoked, or suspended on any of the following grounds except - answerusing
point of sale literature in advertising
Three of the following are deceptive trade practices. Which one of the following is not? -
answerdelivering goods as promised
New and used motor vehicle dealers, powersports dealers, wholesalers and wholesale
auction dealers are required to have a surety bond in the amount of - answer$50,000
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 -
answeremploying a properly licensed salesperson
Which of the following persons are required, by federal law, to adhere to the Truth in
Mileage Act? - answer- new and used motor vehicle dealers - motor vehicle lessors -
motor vehicle auctioneers
The Buyer's Guide, or "as is" sticker may be removed from a vehicle for a test drive, but
must be returned as soon as the test is over - answerTrue
A customer's trade-in vehicle on a financed deal - answermay be sold as soon as the
title has been signed over to the dealer
Wholesalers - answershall maintain written records of all business transactions
involving the sale, exchange, or offer of any interest in a motor vehicle
A salesperson can change dealerships during the licensing year provided that the
correct form and fee is submitted to the Board. Such salesperson may begin work as a
motor vehicle salesperson or powersports salesperson while awaiting a new license
from the Board - answerFalse
A temporary registration permit may be issued - answerboth B & C are correct - for up
to 60 days upon the sale of a motor vehicle to another dealer - to a consumer by a
dealer for up to 60 days
Accurate Answers
The definition of a used motor 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
Motor vehicles may be sold on Sunday (s) - answer False
Selling, leasing, exchanging, renting with option to purchase, offering, or negotiating an
exchange of interest in three (3) or more motor vehicles or three (3) or more
powersports vehicles in any one calendar year, shall be prima facie evidence that a
person is engaged in the business of selling or leasing motor vehicles or powersports
vehicles - answer False
Colorado's Lemon Law covers - answer new self-propelled vehicles, including pickups
and vans
All motor vehicle dealers and powersports dealers must be open to inspection (of books
and records) by the motor vehicle board and its agents - answer Monday through Friday
from 9 A.M. to 5 P.M
If an advertisement for a closed-end credit sale contains the down payment amount,
payment amount, number of payments, and period of repayment, the annual
percentage rate does not need to be disclosed - answerFalse
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 1,500 pounds or more? - answer$10,000
Licensed powersport dealers may not sell powersports on Sunday(s) - answerFalse
The Motor Vehicle Dealer Board is authorized and empowered to - answer- Issue
licenses to and regulate wholsalers - impose a fine of up to $20,000 for each separate
offense - act as an enforcement arm in licensing and regulation
By definition, an advertisement may include any commercial message on any computer
display or window display which is delivered or made available to a customer or
prospective customer in any manner whatsoever - answerFalse
Which of the following is true about Colorado's Lemon Law? - answera "reasonable
number of attempts" to repair applies when the motor vehicle has been out of service for
, repairs a cumulative total of 30 or more business days during the warranty term or 1
year from date of delivery
The license of a wholesale auction dealer or wholesaler may be denied, suspended,
revoked or fined for the following - answerAttempting to negotiate the sale, lease, or
exchange of an interest in motor vehicles to persons other than new or used dealers,
wholesalers, or wholesale auction dealers
The license of a motor vehicle salesperson or a powersports salesperson may be
denied. revoked, or suspended on any of the following grounds except - answerusing
point of sale literature in advertising
Three of the following are deceptive trade practices. Which one of the following is not? -
answerdelivering goods as promised
New and used motor vehicle dealers, powersports dealers, wholesalers and wholesale
auction dealers are required to have a surety bond in the amount of - answer$50,000
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 -
answeremploying a properly licensed salesperson
Which of the following persons are required, by federal law, to adhere to the Truth in
Mileage Act? - answer- new and used motor vehicle dealers - motor vehicle lessors -
motor vehicle auctioneers
The Buyer's Guide, or "as is" sticker may be removed from a vehicle for a test drive, but
must be returned as soon as the test is over - answerTrue
A customer's trade-in vehicle on a financed deal - answermay be sold as soon as the
title has been signed over to the dealer
Wholesalers - answershall maintain written records of all business transactions
involving the sale, exchange, or offer of any interest in a motor vehicle
A salesperson can change dealerships during the licensing year provided that the
correct form and fee is submitted to the Board. Such salesperson may begin work as a
motor vehicle salesperson or powersports salesperson while awaiting a new license
from the Board - answerFalse
A temporary registration permit may be issued - answerboth B & C are correct - for up
to 60 days upon the sale of a motor vehicle to another dealer - to a consumer by a
dealer for up to 60 days
