1|Page
Colorado Car Sales Mastery Exam Prep Document
2025–2027 ||Verified Exam|| Motor Vehicle Salesperson
Licensing, Dealer Compliance & Consumer Protection
||Verified Questions with Detailed Rationales
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)
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
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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
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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
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
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Three of the following are deceptive trade practices.
Which of the following is not? - Answer-Delivering goods
as promised
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
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
Colorado Car Sales Mastery Exam Prep Document
2025–2027 ||Verified Exam|| Motor Vehicle Salesperson
Licensing, Dealer Compliance & Consumer Protection
||Verified Questions with Detailed Rationales
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)
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
,2|Page
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
,3|Page
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
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
, 4|Page
Three of the following are deceptive trade practices.
Which of the following is not? - Answer-Delivering goods
as promised
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
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
