COLORADO CAR SALES MASTERY EXAM 2024
-2025 NEWEST EXAM ACTUAL EXAM
DETAILED QUESTIONS AND GUARANTEED
ANSWERS TOP RAKED BY EXPERTS
ALREADY GRADED A+.REVISED
The Motor Vehicle Dealer Board is authorized and empowered to: - ANSWER- issue or
deny motor vehicle dealer and salesperson licenses
Dealers may be administratively fined by the Dealer Board up to what amount for each
separate offense? - ANSWER- shall not exceed 10,000 dollars for each separate
offense
New and used motor vehicle dealers, wholesalers and wholesale auction dealers are
required to have a surety bond in the amount of ? - ANSWER- $50,000 for Dealer/
Wholesalers
Motor vehicle salespersons are required to have a surety bond in the amount of? -
ANSWER- $15,000
Selling ___ or more vehicles or offering for sale more than ___ vehicles at the same
address or telephone number in any one calendar year, shall be prima facie evidence
that - ANSWER- A person is engaged in the business of selling motor vehicles.
The definition of a used motor vehicle dealer includes which of the following? -
ANSWER- "Used motor vehicle dealer" means any person who, for commission or with
intent to make a profit sells used cars.
Wholesalers may: - ANSWER- make a profit or gain selling to dealers and wholesalers
Three of the following are characteristics of an off-premise permit. Which one is not? -
ANSWER- the permit could be used for a permanent second location
All motor vehicle dealers and used motor vehicle dealers must be open - ANSWER- 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 suspended on
the following grounds except: - ANSWER- advertising a salvaged vehicle that identifies
that vehicle as a salvage vehicle
,The license of a motor vehicle salesperson may be denied, revoked, or suspended on
the following grounds except: - ANSWER- not having a valid Colorado drivers license
The license of a motor vehicle salesperson may be denied, revoked, or suspended on
the following grounds except - ANSWER- to engage as a licensee without having in
force a good and sufficient bond with corporate surety
A dealer, wholesaler or salesperson who is convicted of any felony or any criminal
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? - ANSWER- 30 days after such
conviction
When a salesperson voluntarily leaves or is discharged from a dealership, the dealer
must immediately return that salesperson's _________ to the Dealer Board. -
ANSWER- motor vehicle dealer or used motor vehicle dealer who last employed the
salesperson shall confiscate and return such salesperson's license to the board
A salesperson can change dealerships during the licensing year provided that a Change
of Employer Notification form is submitted to the Board. It is unlawful for such sales
person to act as a motor vehicle salesperson until a new _________ is procured. -
ANSWER- It shall be unlawful for such salesperson to act as a motor vehicle
salesperson until a new license is procured.
A new motor vehicle has three of the following characteristics. Which one doesn't it
have? - ANSWER- motor vehicle that is titled
Which of the following would always indicate a motor vehicle is used? - ANSWER- a
vehicle that is titled
Since 1985, the Federal Trade Commission's Used Car Rule has required that dealers
prominently and conspicuously display the __________________ on every used car or
light truck offered for sale. This is also known as the "as is" sticker. - ANSWER- Buyers
Guide
Which of the following must be identified in advertising? - ANSWER- all of the above
The only items that can be added to an advertised price are: - ANSWER- none of the
above
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
,According to colorado law, which of the following must be licensed as a motor vehicle
dealer and or powersports dealer? - ANSWER- d) All of the above
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
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on
their principal place of business if: - ANSWER- B) they will be open less than 40 hours a
week
A dealer may issue a temporary permits for each roadworthy vehicle sold - ANSWER-
B) false (verify)
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)
The Colorado's consumer protection act declares bait and switch advertising to be
deceptive trade practice. Bait and switch advertising includes which of the following -
ANSWER- d)all of the above
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
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
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
Three of the following are deceptive trade practices. Which of the following is not? -
ANSWER- Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a
temporary permit? - ANSWER- Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000.... - ANSWER- 15
Days
A new motor vehicle has three of the following characteristics. Which one doesn't it
have? - ANSWER- D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how
many days to report conviction? - ANSWER- A ) 30 Days
-2025 NEWEST EXAM ACTUAL EXAM
DETAILED QUESTIONS AND GUARANTEED
ANSWERS TOP RAKED BY EXPERTS
ALREADY GRADED A+.REVISED
The Motor Vehicle Dealer Board is authorized and empowered to: - ANSWER- issue or
deny motor vehicle dealer and salesperson licenses
Dealers may be administratively fined by the Dealer Board up to what amount for each
separate offense? - ANSWER- shall not exceed 10,000 dollars for each separate
offense
New and used motor vehicle dealers, wholesalers and wholesale auction dealers are
required to have a surety bond in the amount of ? - ANSWER- $50,000 for Dealer/
Wholesalers
Motor vehicle salespersons are required to have a surety bond in the amount of? -
ANSWER- $15,000
Selling ___ or more vehicles or offering for sale more than ___ vehicles at the same
address or telephone number in any one calendar year, shall be prima facie evidence
that - ANSWER- A person is engaged in the business of selling motor vehicles.
The definition of a used motor vehicle dealer includes which of the following? -
ANSWER- "Used motor vehicle dealer" means any person who, for commission or with
intent to make a profit sells used cars.
Wholesalers may: - ANSWER- make a profit or gain selling to dealers and wholesalers
Three of the following are characteristics of an off-premise permit. Which one is not? -
ANSWER- the permit could be used for a permanent second location
All motor vehicle dealers and used motor vehicle dealers must be open - ANSWER- 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 suspended on
the following grounds except: - ANSWER- advertising a salvaged vehicle that identifies
that vehicle as a salvage vehicle
,The license of a motor vehicle salesperson may be denied, revoked, or suspended on
the following grounds except: - ANSWER- not having a valid Colorado drivers license
The license of a motor vehicle salesperson may be denied, revoked, or suspended on
the following grounds except - ANSWER- to engage as a licensee without having in
force a good and sufficient bond with corporate surety
A dealer, wholesaler or salesperson who is convicted of any felony or any criminal
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? - ANSWER- 30 days after such
conviction
When a salesperson voluntarily leaves or is discharged from a dealership, the dealer
must immediately return that salesperson's _________ to the Dealer Board. -
ANSWER- motor vehicle dealer or used motor vehicle dealer who last employed the
salesperson shall confiscate and return such salesperson's license to the board
A salesperson can change dealerships during the licensing year provided that a Change
of Employer Notification form is submitted to the Board. It is unlawful for such sales
person to act as a motor vehicle salesperson until a new _________ is procured. -
ANSWER- It shall be unlawful for such salesperson to act as a motor vehicle
salesperson until a new license is procured.
A new motor vehicle has three of the following characteristics. Which one doesn't it
have? - ANSWER- motor vehicle that is titled
Which of the following would always indicate a motor vehicle is used? - ANSWER- a
vehicle that is titled
Since 1985, the Federal Trade Commission's Used Car Rule has required that dealers
prominently and conspicuously display the __________________ on every used car or
light truck offered for sale. This is also known as the "as is" sticker. - ANSWER- Buyers
Guide
Which of the following must be identified in advertising? - ANSWER- all of the above
The only items that can be added to an advertised price are: - ANSWER- none of the
above
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
,According to colorado law, which of the following must be licensed as a motor vehicle
dealer and or powersports dealer? - ANSWER- d) All of the above
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
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on
their principal place of business if: - ANSWER- B) they will be open less than 40 hours a
week
A dealer may issue a temporary permits for each roadworthy vehicle sold - ANSWER-
B) false (verify)
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)
The Colorado's consumer protection act declares bait and switch advertising to be
deceptive trade practice. Bait and switch advertising includes which of the following -
ANSWER- d)all of the above
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
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
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
Three of the following are deceptive trade practices. Which of the following is not? -
ANSWER- Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a
temporary permit? - ANSWER- Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000.... - ANSWER- 15
Days
A new motor vehicle has three of the following characteristics. Which one doesn't it
have? - ANSWER- D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how
many days to report conviction? - ANSWER- A ) 30 Days
