State of Colorado Motor Vehicle Dealer Board
Mastery Examination
A buyer agent may:
a. be a person whose business includes the purchase of motor vehicles primarily for
resale
b. 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
c. advertise the consumer's trade-in
d. receive compensation from a dealer or salesperson - ANS-B
(b) (I) "Buyer agent" does not include a person whose business includes the purchase of motor
vehicles
primarily for resale or lease; except that nothing in this subsection (2.5) shall be construed to
prohibit a
buyer agent from assisting a consumer regarding the disposal of a trade-in motor vehicle that is
incident
to the purchase or lease of a vehicle if the buyer agent does not advertise the sale of, or sell,
such
vehicle to the general public, directs interested dealers and wholesalers to communicate their
offers
directly to the consumer or to the consumer via the buyer agent, does not handle or transfer
titles or
funds between the consumer and the purchaser, receives no compensation from a dealer or
wholesaler
purchasing a consumer's vehicle, and identifies himself or herself as a buyer agent to dealers
and
wholesalers interested in the consumer's vehicle.
(II) A "buyer agent" licensed pursuant to this part 1 shall not be employed by or receive a fee
from a
person whose business includes the purchase of motor vehicles primarily for resale or lease, a
motor
vehicle manufacturer, a motor vehicle dealer, or a used motor vehicle dealer.
https://www.colorado.gov/pacific/sites/default/files/January%207%202015%20Motor%20Vehicle
s%20laws.pdf
A customer's trade-in vehicle on a financed deal may be sold:
a. 72 hours after the buyer's order was signed
b. as soon as the title has been signed over to the dealer
c. only when the financing has been approved
,d. when the customer signs a power-of-attorney form - ANS-c. only when the financing has
been approved
A dealer has how many days to deliver or facilitate delivery of title from the date
of sale? - ANS-The title or MCO must be procured by the dealer or wholesaler upon the sale
and delivery of the vehicle and delivered or mailed to the purchaser or chattel mortgage
company within thirty (30) days pursuant to 42-6-112, C.R.S.
A dealer may advertise in which of the following manners?
a. using a qualifying statement which is not clear and is not adjacent to the offer
b. using an asterisk to change the meaning of an advertising statement
c. advertising using the word wholesale in connection with retail sales
d. using a color picture in the ad that is not the same color as the actual vehicle being
advertised as long as the disclosure, "vehicle colors may vary" is included - ANS-D.
Rule 4. Using a picture or photograph of a vehicle in
advertising when the picture or photograph is not the same
make, year and equipment actually being offered
Rule 5. Advertising in such a manner which utilizes
an asterisk
Rule 11. Advertising any reference to "dealer cost"
or "invoice" price. Advertising the word "wholesale" in
connection with the retail offering of motor vehicles
https://www.colorado.gov/pacific/sites/default/files/Dealer%20Board%20Advertising%20Rules%
20DR%202332.pdf
A dealer, wholesaler or salesperson who is convicted of any felony or any crime
pursuant to Article 3, 4 or 5 of Title 18, C.R.S. (felony or criminal misdemeanor) or like
crime pursuant to federal law or law of any other state has _____ days to give the Dealer
Board written notice of such conviction? - ANS-A salesperson who is convicted of or pled nolo
contendere or a plea in a deferred judgment and
sentenced to any felony or any crime pursuant to article 3, 4, or 5 of title 18, C.R.S., or like crime
pursuant to federal law or the law of any other state, must give the board written notice of such
conviction within thirty days after such conviction
https://www.colorado.gov/pacific/sites/default/files/JANUARY%208%20MV%20REGS%20unhig
hlited011215.pdf
A dealer's advertising must contain the dealer's licensed name and/or the word(s): - ANS-The
dealer's name or the word "dealer" must be included
in the advertisement or both name and the word "dealer"
if the name appears but does not clearly reflect that the
business is a dealer.
, https://www.colorado.gov/pacific/sites/default/files/Dealer%20Board%20Advertising%20Rules%
20DR%202332.pdf
A new motor vehicle has three of the following characteristics. Which one
doesn't it have?
a. a motor vehicle being transferred for the first time from a manufacturer
b. a motor vehicle that is titled
c. a motor vehicle which has not been used and commonly known as a "new"
vehicle
d. a motor vehicle with less than 1500 demonstration miles at the franchised dealer - ANS-B.
A new motor vehicle, is defined as "any motor vehicle being transferred for the first time from a
manufacturer or importer, or dealer or agent or agent of a manufacturer or importer, and which
motor
vehicle has heretofore not been used, and is what is commonly known as a "new motor
vehicle"." A motor
vehicle which has been used by a dealer solely for the purpose of demonstration to prospective
customers shall be considered a "new vehicle" , unless such demonstration use has been for
more than
Fifteen Hundred (1500) miles.
https://www.colorado.gov/pacific/sites/default/files/JANUARY%208%20MV%20REGS%20unhig
hlited011215.pdf
A new or used motor vehicle dealer may legally do which of the following with a
temporary registration permit?
a. issue a 7 day permit upon the sale of a motor vehicle to another dealer
b. issue a permit for a demonstration drive by a consumer
c. loan, give, borrow, sell, exchange or issue permits for or with another dealer
d. issue a second permit to a consumer or another dealer - ANS-A. 7 day B2b sale, 60 days to
customer
2.3 Temporary permits and dealer stubs shall be issued by Dealers upon consummation of a
sale.
Dealers shall not loan, give, borrow, sell, exchange or issue permits for or with another
dealer, individual, business, company, or corporation.
Temporary
permits are not renewable, but when circumstances warrant, subsequent permits may be
applied for by the consumer from their County Motor Vehicle Office or the Auto Industry
Division.
Mastery Examination
A buyer agent may:
a. be a person whose business includes the purchase of motor vehicles primarily for
resale
b. 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
c. advertise the consumer's trade-in
d. receive compensation from a dealer or salesperson - ANS-B
(b) (I) "Buyer agent" does not include a person whose business includes the purchase of motor
vehicles
primarily for resale or lease; except that nothing in this subsection (2.5) shall be construed to
prohibit a
buyer agent from assisting a consumer regarding the disposal of a trade-in motor vehicle that is
incident
to the purchase or lease of a vehicle if the buyer agent does not advertise the sale of, or sell,
such
vehicle to the general public, directs interested dealers and wholesalers to communicate their
offers
directly to the consumer or to the consumer via the buyer agent, does not handle or transfer
titles or
funds between the consumer and the purchaser, receives no compensation from a dealer or
wholesaler
purchasing a consumer's vehicle, and identifies himself or herself as a buyer agent to dealers
and
wholesalers interested in the consumer's vehicle.
(II) A "buyer agent" licensed pursuant to this part 1 shall not be employed by or receive a fee
from a
person whose business includes the purchase of motor vehicles primarily for resale or lease, a
motor
vehicle manufacturer, a motor vehicle dealer, or a used motor vehicle dealer.
https://www.colorado.gov/pacific/sites/default/files/January%207%202015%20Motor%20Vehicle
s%20laws.pdf
A customer's trade-in vehicle on a financed deal may be sold:
a. 72 hours after the buyer's order was signed
b. as soon as the title has been signed over to the dealer
c. only when the financing has been approved
,d. when the customer signs a power-of-attorney form - ANS-c. only when the financing has
been approved
A dealer has how many days to deliver or facilitate delivery of title from the date
of sale? - ANS-The title or MCO must be procured by the dealer or wholesaler upon the sale
and delivery of the vehicle and delivered or mailed to the purchaser or chattel mortgage
company within thirty (30) days pursuant to 42-6-112, C.R.S.
A dealer may advertise in which of the following manners?
a. using a qualifying statement which is not clear and is not adjacent to the offer
b. using an asterisk to change the meaning of an advertising statement
c. advertising using the word wholesale in connection with retail sales
d. using a color picture in the ad that is not the same color as the actual vehicle being
advertised as long as the disclosure, "vehicle colors may vary" is included - ANS-D.
Rule 4. Using a picture or photograph of a vehicle in
advertising when the picture or photograph is not the same
make, year and equipment actually being offered
Rule 5. Advertising in such a manner which utilizes
an asterisk
Rule 11. Advertising any reference to "dealer cost"
or "invoice" price. Advertising the word "wholesale" in
connection with the retail offering of motor vehicles
https://www.colorado.gov/pacific/sites/default/files/Dealer%20Board%20Advertising%20Rules%
20DR%202332.pdf
A dealer, wholesaler or salesperson who is convicted of any felony or any crime
pursuant to Article 3, 4 or 5 of Title 18, C.R.S. (felony or criminal misdemeanor) or like
crime pursuant to federal law or law of any other state has _____ days to give the Dealer
Board written notice of such conviction? - ANS-A salesperson who is convicted of or pled nolo
contendere or a plea in a deferred judgment and
sentenced to any felony or any crime pursuant to article 3, 4, or 5 of title 18, C.R.S., or like crime
pursuant to federal law or the law of any other state, must give the board written notice of such
conviction within thirty days after such conviction
https://www.colorado.gov/pacific/sites/default/files/JANUARY%208%20MV%20REGS%20unhig
hlited011215.pdf
A dealer's advertising must contain the dealer's licensed name and/or the word(s): - ANS-The
dealer's name or the word "dealer" must be included
in the advertisement or both name and the word "dealer"
if the name appears but does not clearly reflect that the
business is a dealer.
, https://www.colorado.gov/pacific/sites/default/files/Dealer%20Board%20Advertising%20Rules%
20DR%202332.pdf
A new motor vehicle has three of the following characteristics. Which one
doesn't it have?
a. a motor vehicle being transferred for the first time from a manufacturer
b. a motor vehicle that is titled
c. a motor vehicle which has not been used and commonly known as a "new"
vehicle
d. a motor vehicle with less than 1500 demonstration miles at the franchised dealer - ANS-B.
A new motor vehicle, is defined as "any motor vehicle being transferred for the first time from a
manufacturer or importer, or dealer or agent or agent of a manufacturer or importer, and which
motor
vehicle has heretofore not been used, and is what is commonly known as a "new motor
vehicle"." A motor
vehicle which has been used by a dealer solely for the purpose of demonstration to prospective
customers shall be considered a "new vehicle" , unless such demonstration use has been for
more than
Fifteen Hundred (1500) miles.
https://www.colorado.gov/pacific/sites/default/files/JANUARY%208%20MV%20REGS%20unhig
hlited011215.pdf
A new or used motor vehicle dealer may legally do which of the following with a
temporary registration permit?
a. issue a 7 day permit upon the sale of a motor vehicle to another dealer
b. issue a permit for a demonstration drive by a consumer
c. loan, give, borrow, sell, exchange or issue permits for or with another dealer
d. issue a second permit to a consumer or another dealer - ANS-A. 7 day B2b sale, 60 days to
customer
2.3 Temporary permits and dealer stubs shall be issued by Dealers upon consummation of a
sale.
Dealers shall not loan, give, borrow, sell, exchange or issue permits for or with another
dealer, individual, business, company, or corporation.
Temporary
permits are not renewable, but when circumstances warrant, subsequent permits may be
applied for by the consumer from their County Motor Vehicle Office or the Auto Industry
Division.
