Sales Mastery Test (Set Question 2) Questions and Answers Graded A

Sales Mastery Test (Set Question 2) Questions and Answers Graded A The Motor Vehicle Dealer Board is authorized and empowered to: issue or deny motor vehicle dealer and salesperson licenses he Motor Vehicle Dealer Board is authorized and empowered to: d. all of the above Dealers may be administratively fined by the Dealer Board up to what amount foreach separate offense? shall not exceed ten thousand dollars for each separate offense New and used motor vehicle dealers, wholesalers and wholesale auction dealers arerequired to have a surety bond in the amount of ? $50,000 for Dealer/Wholesaler Motor vehicle salespersons are required to have a surety bond in the amount of? $15,000 Selling ___ or more vehicles or offering for sale more than ___ vehicles at the sameaddress or telephone number in any one calendar year, shall be prima facie evidence that A person is engaged in the business of selling motor vehicles. The definition of a used motor vehicle dealer includes which of the following? "Used motor vehicle dealer" means any person who, for commission or with intent to make a profit sells used cars. Wholesalers may: make a profit or gain selling to dealers and wholesalers Three of the following are characteristics of an off-premise permit. Which one isnot? the permit could be used for a permanent second location All motor vehicle dealers and used motor vehicle dealers must be open a. a minimum of 12 hours per week Hours of operation posted and opened at least 3 days per week for a continuous four hours per day between 8 AM and 9 PM. the license of a motor vehicle salesperson may be denied, revoked, or suspendedon the following grounds except: advertising a salvaged vehicle that identifies that vehicle as a salvage vehicle The license of a motor vehicle salesperson may be denied, revoked, or suspendedon the following grounds except: . not having a valid Colorado drivers license The license of a motor vehicle salesperson may be denied, revoked, or suspendedon the following grounds except to engage as a licensee without having in force a good and sufficient bond withcorporate surety A dealer, wholesaler or salesperson who is convicted of any felony or any crimepursuant to Article 3, 4 or 5 of Title 18, C.R.S. (felony or criminal misdemeanor) or likecrime pursuant to federal law or law of any other state has _____ days to give the DealerBoard written notice of such conviction? thirty days after such conviction When a salesperson voluntarily leaves or is discharged from a dealership, the dealermust immediately return that salesperson's _________ to the Dealer Board. motor vehicle dealer or used motor vehicle dealer who last employed the salesperson shallconfiscate and return such salesperson's license to the board A salesperson can change dealerships during the licensing year provided that aChange of Employer Notification form is submitted to the Board. It is unlawful for suchsalesperson to act as a motor vehicle salesperson until a new _________ is procured. It shall be unlawful for such salesperson to act as amotor vehicle salesperson until a new license is procured. A buyer agent may: be retained or hired by a consumer to assist, represent, or act on behalf of such A new motor vehicle has three of the following characteristics. Which onedoesn't it have? motor vehicle that is titled Which of the following would always indicate a motor vehicle is used? a vehicle that is titled Since 1985, the Federal Trade Commission's Used Car Rule has required that dealersprominently and conspicuously display the __________________ on every used car orlight truck offered for sale. This is also known as the "as is" sticker. Buyers Guide three of the following are required when a dealer is advertising a lease of a motorvehicle with a payment amount. Which one is not required? disclosing the cost of leasing versus the cost of purchasing. An advertisement would include: all of the above Which of the following must be identified in advertising? all of the above he only items that can be added to an advertised price are: none of the above A dealer may advertise in which of the following manners? d. using a color picture in the ad that is not the same color as the actual vehicle beingadvertised as long as the disclosure, "vehicle colors may vary" is included A dealer's advertising must contain the dealer's licensed name and/or the word(s): The dealer's name or the word "dealer" must be includedin the advertisement or both name and the word "dealer"if the name appears but does not clearly reflect that thebusiness is a dealer. The Colorado Consumer Protection Act declares bait and switch advertising to bea deceptive trade practice. Bait and switch advertising would include which of thefollowing? all of the above Three of the following are required to be disclosed when a dealer is advertising aclosed-end credit sale of a motor vehicle with a down payment amount, payment amount,number of payments, period of repayment or amount of finance charge. Which one is notrequired? a. tax rate A dealer has how many days to deliver or facilitate delivery of title from the dateof sale? 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. Which of the following is not proof of ownership of a motor vehicle for aColorado dealer? a signed Monroney Label ull-use dealer plates cannot be displayed on vehicles that are used by the dealershipfor any _______________ purpose Which one of the following statements is true regarding dealer demo plates? 2. May be displayed on vehicles for demonstration drive purposes, during normal businesshours, when a dealership employee is in the vehicle with the prospective buyer. a. May be displayed on vehicles operated by a prospective buyer for demonstration drives.Demonstration drives by a prospective purchaser shall not exceed seven calendar days.2.12 Lost or stolen dealer plates shall be reported within seventy-two (72) hours to the local law Which of the following is true regarding dealer demo plates? dealer demo plates may be displayed only on vehicles owned by or consigned tothe dealer or wholesaler Which of the following is true regarding depot plates? A depot plate may be used by the dealership to transport vehicles to and from the dealer'splace of business or storage for the purpose of completing work that involves repairing,painting, upholstering, polishing or other similar types of work on the vehicle. A depot plate mayalso be used for road testing the vehicle after repair. Movement of a vehicle using a depot platefor any purpose other than those listed above shall constitute private use. A new or used motor vehicle dealer may legally do which of the following with atemporary registration permit? issue a permit for a demonstration drive by a consumer How many temporary permits may a dealer issue for each road worthy vehiclesold 1 Records of vehicle transfers and odometer statements must be retained for ____years. 5 The odometer law declares all of the following except: it is unlawful to replace an odometer under any circumstance Three of the following types of motor vehicles are exempt from the Truth inMileage Act. Which one is not exempt? motor vehicles with out-of-state titles The federal cash reporting rule requires dealers to file federal form 8300 with theInternal Revenue Service when they receive more than $10,000 cash in a singletransaction. How many days does a dealer have to file this form? 15 days Which of the following is a false statement regarding dealers and buyers? a. a dealer must offer a warranty on all motor vehicles sold A. a dealer does not have to offer a warranty Three of the following are deceptive trade practices. Which one of the followingis not? the dealer discloses in the advertisement all known material information hree of the following are deceptive trade practices. Which one of the followingis not? delivering good as promised A customer's trade-in vehicle on a financed deal may be sold: c. only when the financing has been approved Colorado's Lemon Law covers: Colorado's Lemon Law covers only new self-propelledvehicles, including pickups and vans. Motor homes andmotorcycles are excluded from the Lemon Law. Which of the following is true about Colorado's Lemon Law? all of the above The proper steps to repossess a motor vehicle include: all of the above Local law enforcement offices must be notified within _______ hour(s) before orafter the repossession of a motor vehicle occurs. onehour before Which of the following may motor vehicle dealers sell on a Sunday? c. no vehicles may be sold on a Sunday