Mastery Exam, Car Sales Test Colorado Exam
with 300 Questions and Verified Answers
(GRADED A) (LATEST UPDATE 2025 )
The license of a motor vehicle salesperson or power-sports salesperson may be denied, revoked
or suspended on any of the following grounds except--CORRECT 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--CORRECT ANSWER--
d) All of the above
Colorado Lemon law covers--CORRECT 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--CORRECT
ANSWER--
d) tax rate
The motor vehicle dealer board is authorized and empowered to--CORRECT 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--CORRECT 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--CORRECT ANSWER--
B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold
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
,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
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--CORRECT ANSWER--
B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members
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
$1,000
Three of the following are characteristics of an off-premise permit. . Which one is not--CORRECT
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--CORRECT 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
A)True
Dealers must either be self insured or have insurance for their vehicles
A)True
In transit plates may be used on motor vehicles
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
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
Employing a properly licensed salesperson
The only items that can be added to an advertised price are
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--CORRECT ANSWER--
D) using point of sale literature in advertising
A buyer agent may
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--
CORRECT ANSWER-- Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a temporary
permit--CORRECT ANSWER--
Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000....
15 Days
A new motor vehicle has three of the following characteristics. Which one doesn't it have--
CORRECT ANSWER--
D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how many days
to report conviction--CORRECT ANSWER--
A) 30 Days
, Three of the following are require when a dealer is advertising a lease of a a motor vehicle or
powersports vehicle with a payment amount which one is not required--CORRECT ANSWER-
-
D) disclosing the cost of leasing versus the cost of purchasing
The definition of a used mother vehicle dealer or used powersports dealer includes which of the
following --CORRECT 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
A customer's trade- in vehicle on a financed deal may be sold
D) only when the financing has been approved
Wholesalers --CORRECT ANSWER--
C) must use a name other than their personal name on all business documents
A dealer is required to have on file the licenses of each of their employed salespersons but need
not display them in their place of business
False
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked
or suspended on the following grounds
D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer
B) False
A salesperson can change dealerships during the licensing year provided that the correct form
and fee is submitted to the board such sales person may begin work as a motor vehicle
salespersons or powersports salesperson while awaiting a new license from the board
B) False
Records of vehicles transfers and odometer statements must be retained for--CORRECT ANSWER--
C) 5 year
with 300 Questions and Verified Answers
(GRADED A) (LATEST UPDATE 2025 )
The license of a motor vehicle salesperson or power-sports salesperson may be denied, revoked
or suspended on any of the following grounds except--CORRECT 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--CORRECT ANSWER--
d) All of the above
Colorado Lemon law covers--CORRECT 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--CORRECT
ANSWER--
d) tax rate
The motor vehicle dealer board is authorized and empowered to--CORRECT 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--CORRECT 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--CORRECT ANSWER--
B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold
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
,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
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--CORRECT ANSWER--
B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members
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
$1,000
Three of the following are characteristics of an off-premise permit. . Which one is not--CORRECT
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--CORRECT 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
A)True
Dealers must either be self insured or have insurance for their vehicles
A)True
In transit plates may be used on motor vehicles
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
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
Employing a properly licensed salesperson
The only items that can be added to an advertised price are
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--CORRECT ANSWER--
D) using point of sale literature in advertising
A buyer agent may
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--
CORRECT ANSWER-- Delivering goods as promised
A new or used motor vehicle dealer may legally do which of the following with a temporary
permit--CORRECT ANSWER--
Issue a permit for a demonstration drive by a consumer
Re federal cash reporting rule requires dealers to file form 83000....
15 Days
A new motor vehicle has three of the following characteristics. Which one doesn't it have--
CORRECT ANSWER--
D) a title
A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how many days
to report conviction--CORRECT ANSWER--
A) 30 Days
, Three of the following are require when a dealer is advertising a lease of a a motor vehicle or
powersports vehicle with a payment amount which one is not required--CORRECT ANSWER-
-
D) disclosing the cost of leasing versus the cost of purchasing
The definition of a used mother vehicle dealer or used powersports dealer includes which of the
following --CORRECT 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
A customer's trade- in vehicle on a financed deal may be sold
D) only when the financing has been approved
Wholesalers --CORRECT ANSWER--
C) must use a name other than their personal name on all business documents
A dealer is required to have on file the licenses of each of their employed salespersons but need
not display them in their place of business
False
The license of a motor vehicle salesperson or a powersports salesperson may be denied, revoked
or suspended on the following grounds
D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer
B) False
A salesperson can change dealerships during the licensing year provided that the correct form
and fee is submitted to the board such sales person may begin work as a motor vehicle
salespersons or powersports salesperson while awaiting a new license from the board
B) False
Records of vehicles transfers and odometer statements must be retained for--CORRECT ANSWER--
C) 5 year
