State of Colorado Motor Vehicle Dealer Board Mastery Examination
Questions With Correct Answers
1. The Motor Vehicle Dealer Board has among its members: Board is comprised
| | | | | | | | | | |
of three (3) motor vehicle dealers, three (3) used motor vehicle dealers, and three
| | | | | | | | | | | | | |
(3) public members
| |
2. The Motor Vehicle Dealer Board is authorized and empowered to
| | | | | | | | |
a. issue or deny buyer agent licenses | | | | |
b. issue or deny manufacturer representative licenses
| | | | |
c. issue or deny motor vehicle dealer and salesperson licenses
| | | | | | | |
d. all of the above: C. the administration, enforcement, issuance, and denial of
| | | | | | | | | | |
licenses to motor vehicle dealers, motor vehicle salespersons, used motor
| | | | | | | | | |
vehicle dealers, wholesale motor vehicle auction dealers, and wholesalers
| | | | | | | | |
The executive director is hereby charged with the administration, enforcement, and
| | | | | | | | | |
issuance or denial of the licensing of buyer agents, distributors, manufacturer
| | | | | | | | | | |
representatives, and motor vehicle manufacturers.
| | | | |
3. The Motor Vehicle Dealer Board is authorized and empowered to:
| | | | | | | | |
a. investigate any suspected or alleged violation by any motor vehicle sales- | | | | | | | | | |
person
|
b. investigate any suspected or alleged violation by any motor vehicle dealer | | | | | | | | | |
c. order an administrative hearing be held if it believes there is probable
| | | | | | | | | | |
cause that a violation occurred
| | | | |
d. all of the above: D. | | | |
(f) (I) To investigate through the executive director, on its own motion or upon the
| | | | | | | | | | | | | |
written and signed complaint of any person, any suspected or alleged violation by
| | | | | | | | | | | | |
any motor vehicle dealer, motor vehicle
| | | | | |
salesperson, used motor vehicle dealer, wholesale motor vehicle auction dealer, or | | | | | | | | | |
wholesaler licensee of any of the terms and provisions of this part 1 or of any rule or
| | | | | | | | | | | | | | | | | |
regulation promulgated by the board under the authority conferred upon it in this
| | | | | | | | | | | | |
section. The board shall order an investigation of all written and signed complaints,
| | | | | | | | | | | | |
shall have the authority to issue subpoenas and to delegate the
| | | | | | | | | | |
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, State of Colorado Motor Vehicle Dealer Board Mastery Examination
| | | | | | | |
authority to issue subpoenas to the executive director, and the executive director
| | | | | | | | | | |
shall make an investigation of all such complaints transmitted by the board pursuant
| | | | | | | | | | | | |
to section 12-6-105.
| | |
if the board determines that there is probable cause to believe a violation of this
| | | | | | | | | | | | | |
| article has occurred, it may order that an administrative hearing be held pursuant to
| | | | | | | | | | | | |
| section 24-4-105, C.R.S. | |
4. Dealers may be administratively fined by the Dealer Board up to what | | | | | | | | | | |
amount for
| |
each separate offense?: (m) (I) (A) If a hearing is held before an administrative law
| | | | | | | | | | | | | |
judge or a hearing officer designated by the
| | | | | | | |
board from within the board's membership, after due notice and a hearing by such judg
| | | | | | | | | | | | | |
or hearing
| |
officer pursuant to section 24-4-105, C.R.S., to review the findings of law and fact and
| | | | | | | | | | | | | |
the fairness of any
| | | |
fine imposed and to uphold such fine, to impose an administrative fine upon its own
| | | | | | | | | | | | | |
initiative, which
| |
shall not exceed ten thousand dollars for each separate offense
| | | | | | | | |
5. New and used motor vehicle dealers, wholesalers and wholesale | | | | | | | |
auction dealers are
| | |
required to have a surety bond in the amount of $: $50,000 for Dealer/Wholesaler
| | | | | | | | | | | | |
6. Motor vehicle salespersons are required to have a surety bond in the | | | | | | | | | | |
amount of
| |
$: Surety Bond with FULL LEGAL NAME in the amount of $15,000. A photocopy may
| | | | | | | | | | | | | |
be submitted.
| |
7. Selling or more vehicles or offering for sale more than vehicles at | | | | | | | | | | |
the sameaddress or telephone number in any one calendar year, shall be
| | | | | | | | | | | | |
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, State of Colorado Motor Vehicle Dealer Board Mastery Examination
| | | | | | | |
prima facie evidence thata person is engaged in the business of selling motor
| | | | | | | | | | | | |
vehicles.: The sale or lease of three or
| | | | | | | |
more new or new and used motor vehicles or the offering for sale or lease of more than
| | | | | | | | | | | | | | | | |
three new or
| | |
new and used motor vehicles at the same address or telephone number in any one
| | | | | | | | | | | | | |
calendar year shall
| | |
be prima facie evidence that a person is engaged in the business of selling or
| | | | | | | | | | | | | |
leasing new or new and used motor vehicles.
| | | | | | | |
8. The definition of a used motor vehicle dealer includes which of the
| | | | | | | | | | |
following?: (17) "Used motor vehicle dealer" means any person who, for
| | | | | | | | | | |
commission or with intent to make a profit
| | | | | | | |
or gain of money or other thing of value, sells, exchanges, leases, or offers an interest i
| | | | | | | | | | | | | | | |
used motor
| |
vehicles, or attempts to negotiate a sale, exchange, or lease of used and new motor
| | | | | | | | | | | | | |
vehicles or who is
| | | |
engaged wholly or in part in the business of selling used motor vehicles, whether or not
| | | | | | | | | | | | | | |
such motor vehicles are owned by such person.
| | | | | | | |
9. Wholesalers may: |
a. make a profit or gain selling to dealers and wholesalers
| | | | | | | | |
b. employ a motor vehicle salesperson | | | |
c. conduct business in their own personal name | | | | | |
d. hold both a wholesale license and a motor vehicle salesperson license at
| | | | | | | | | | |
the same time: A.| | | |
Regulation 12-6-102 (18) | |
No person may hold both a wholesaler license and a motor vehicle salesperson license
| | | | | | | | | | | | |
at the same time.
| | | |
A wholesaler may not employ a motor vehicle salesperson. For
| | | | | | | | |
discussion of profit or gain, see Regulation 12-6-102 (13).
| | | | | | | | |
Wholesalers shall use a name other than their personal name on all business | | | | | | | | | | | |
documents for the purchase
| | | |
3 |/ |23
Questions With Correct Answers
1. The Motor Vehicle Dealer Board has among its members: Board is comprised
| | | | | | | | | | |
of three (3) motor vehicle dealers, three (3) used motor vehicle dealers, and three
| | | | | | | | | | | | | |
(3) public members
| |
2. The Motor Vehicle Dealer Board is authorized and empowered to
| | | | | | | | |
a. issue or deny buyer agent licenses | | | | |
b. issue or deny manufacturer representative licenses
| | | | |
c. issue or deny motor vehicle dealer and salesperson licenses
| | | | | | | |
d. all of the above: C. the administration, enforcement, issuance, and denial of
| | | | | | | | | | |
licenses to motor vehicle dealers, motor vehicle salespersons, used motor
| | | | | | | | | |
vehicle dealers, wholesale motor vehicle auction dealers, and wholesalers
| | | | | | | | |
The executive director is hereby charged with the administration, enforcement, and
| | | | | | | | | |
issuance or denial of the licensing of buyer agents, distributors, manufacturer
| | | | | | | | | | |
representatives, and motor vehicle manufacturers.
| | | | |
3. The Motor Vehicle Dealer Board is authorized and empowered to:
| | | | | | | | |
a. investigate any suspected or alleged violation by any motor vehicle sales- | | | | | | | | | |
person
|
b. investigate any suspected or alleged violation by any motor vehicle dealer | | | | | | | | | |
c. order an administrative hearing be held if it believes there is probable
| | | | | | | | | | |
cause that a violation occurred
| | | | |
d. all of the above: D. | | | |
(f) (I) To investigate through the executive director, on its own motion or upon the
| | | | | | | | | | | | | |
written and signed complaint of any person, any suspected or alleged violation by
| | | | | | | | | | | | |
any motor vehicle dealer, motor vehicle
| | | | | |
salesperson, used motor vehicle dealer, wholesale motor vehicle auction dealer, or | | | | | | | | | |
wholesaler licensee of any of the terms and provisions of this part 1 or of any rule or
| | | | | | | | | | | | | | | | | |
regulation promulgated by the board under the authority conferred upon it in this
| | | | | | | | | | | | |
section. The board shall order an investigation of all written and signed complaints,
| | | | | | | | | | | | |
shall have the authority to issue subpoenas and to delegate the
| | | | | | | | | | |
1 |/ |23
, State of Colorado Motor Vehicle Dealer Board Mastery Examination
| | | | | | | |
authority to issue subpoenas to the executive director, and the executive director
| | | | | | | | | | |
shall make an investigation of all such complaints transmitted by the board pursuant
| | | | | | | | | | | | |
to section 12-6-105.
| | |
if the board determines that there is probable cause to believe a violation of this
| | | | | | | | | | | | | |
| article has occurred, it may order that an administrative hearing be held pursuant to
| | | | | | | | | | | | |
| section 24-4-105, C.R.S. | |
4. Dealers may be administratively fined by the Dealer Board up to what | | | | | | | | | | |
amount for
| |
each separate offense?: (m) (I) (A) If a hearing is held before an administrative law
| | | | | | | | | | | | | |
judge or a hearing officer designated by the
| | | | | | | |
board from within the board's membership, after due notice and a hearing by such judg
| | | | | | | | | | | | | |
or hearing
| |
officer pursuant to section 24-4-105, C.R.S., to review the findings of law and fact and
| | | | | | | | | | | | | |
the fairness of any
| | | |
fine imposed and to uphold such fine, to impose an administrative fine upon its own
| | | | | | | | | | | | | |
initiative, which
| |
shall not exceed ten thousand dollars for each separate offense
| | | | | | | | |
5. New and used motor vehicle dealers, wholesalers and wholesale | | | | | | | |
auction dealers are
| | |
required to have a surety bond in the amount of $: $50,000 for Dealer/Wholesaler
| | | | | | | | | | | | |
6. Motor vehicle salespersons are required to have a surety bond in the | | | | | | | | | | |
amount of
| |
$: Surety Bond with FULL LEGAL NAME in the amount of $15,000. A photocopy may
| | | | | | | | | | | | | |
be submitted.
| |
7. Selling or more vehicles or offering for sale more than vehicles at | | | | | | | | | | |
the sameaddress or telephone number in any one calendar year, shall be
| | | | | | | | | | | | |
2 |/ |23
, State of Colorado Motor Vehicle Dealer Board Mastery Examination
| | | | | | | |
prima facie evidence thata person is engaged in the business of selling motor
| | | | | | | | | | | | |
vehicles.: The sale or lease of three or
| | | | | | | |
more new or new and used motor vehicles or the offering for sale or lease of more than
| | | | | | | | | | | | | | | | |
three new or
| | |
new and used motor vehicles at the same address or telephone number in any one
| | | | | | | | | | | | | |
calendar year shall
| | |
be prima facie evidence that a person is engaged in the business of selling or
| | | | | | | | | | | | | |
leasing new or new and used motor vehicles.
| | | | | | | |
8. The definition of a used motor vehicle dealer includes which of the
| | | | | | | | | | |
following?: (17) "Used motor vehicle dealer" means any person who, for
| | | | | | | | | | |
commission or with intent to make a profit
| | | | | | | |
or gain of money or other thing of value, sells, exchanges, leases, or offers an interest i
| | | | | | | | | | | | | | | |
used motor
| |
vehicles, or attempts to negotiate a sale, exchange, or lease of used and new motor
| | | | | | | | | | | | | |
vehicles or who is
| | | |
engaged wholly or in part in the business of selling used motor vehicles, whether or not
| | | | | | | | | | | | | | |
such motor vehicles are owned by such person.
| | | | | | | |
9. Wholesalers may: |
a. make a profit or gain selling to dealers and wholesalers
| | | | | | | | |
b. employ a motor vehicle salesperson | | | |
c. conduct business in their own personal name | | | | | |
d. hold both a wholesale license and a motor vehicle salesperson license at
| | | | | | | | | | |
the same time: A.| | | |
Regulation 12-6-102 (18) | |
No person may hold both a wholesaler license and a motor vehicle salesperson license
| | | | | | | | | | | | |
at the same time.
| | | |
A wholesaler may not employ a motor vehicle salesperson. For
| | | | | | | | |
discussion of profit or gain, see Regulation 12-6-102 (13).
| | | | | | | | |
Wholesalers shall use a name other than their personal name on all business | | | | | | | | | | | |
documents for the purchase
| | | |
3 |/ |23
