Mastery Exam, Car Sales Test Colorado
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 - correct 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 - correct
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 - correct 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? - correct answer B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members - correct 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 - correct answer $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 - correct answer A)True
Dealers must either be self insured or have insurance for their vehicles - correct answer A)True
In transit plates may be used on motor vehicles - correct 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 - correct
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 - correct answer Employing
a properly licensed salesperson
The only items that can be added to an advertised price are - correct 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: - correct answer D)using point
of sale literature in advertising
A buyer agent may - correct 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? - 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.... - correct answer 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 - correct answer 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 - correct answer False
The license of a motor vehicle salesperson or a powersports salesperson may be denied,
revoked or suspended on the following grounds - correct answer D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer - correct
answer 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 - correct
answer B) False
Records of vehicles transfers and odometer statements must be retained for: - correct answer
C) 5 year
Motor vehicle dealers, powersport dealers, used motor vehicle dealers, used powersports
dealers or wholesalers are not required to report to the dealer board - correct answer B) any
change in the hours of operation of the business when the business continues full time (review)
Which of the following would indicate a motor vehicle is "used" - correct answer A certificate of
title has been issued
A motor vehicle dealer is responsible for : - correct answer D) all of the above
An advertisement would include - correct answer D) all of the above
The license of a new or used dealer, wholesale auction dealer, or wholesaler may be denied,
suspended revoked or fined for the following - correct answer D) all of the above
Which of the following is a deceptive trade practice? - correct answer D) All of the above are
deceptive trade practices
, Demonstration plates can be displayed on vehicles that are used by the dealership for any
commercial purpose - correct answer true
A dealers advertising must contain the dealers licensed name and the words - correct answer C)
dealer
Which of the following does not fit the definition of a motor vehicle dealer - correct answer C)
someone who sells motor vehicles solely to wholesalers
Depot plates may be used during normal business hours to transport a motor vehicle - correct
answer D ) all of the above
Licensed powersport dealers may not sell powersports on Sundays ( verify) - correct answer
False
By definition an advertisement may include any commercial message on any computer display
or window, display which is delivered or made available to a customer or prospective customer
in any manner whatsoever - correct answer True ( verify)
The motor Vehicle dealer board is authorized and empowered to - correct answer D) all of the
above
The federal odometer law declares that it is unlawful to do any of the following except - correct
answer C) to operate a motor vehicle on any street, with the intent to defraud, knowing that
the odometer is disconnected
Dealer demo plates may be used on motor vehicles - correct answer D) properly assigned in the
name of the dealership
New and used motor vehicle dealers, powersports dealers, and wholesale auction dealers are
required to have a surety bond - correct answer D) all of the above
Motor vehicle and powersport salespeople are required to have a surety bond in the amount of
: - correct answer 15k$
The buyers guide or "as is" sticker must be - correct answer Provided to a customer in another
language than English
In advertisement motor vehicle, a dealer or salesperson may - correct answer Make reference
"dealer cost" or "invoice price"
Which of the following steps are require to properly and legally repossess a motor vehicle -
correct answer Effect a lien creating a security interest
Which of the following motor vehicles may be sold on Sundays? - correct answer C)Motor
Homes
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 - correct 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 - correct
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 - correct 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? - correct answer B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members - correct 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 - correct answer $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 - correct answer A)True
Dealers must either be self insured or have insurance for their vehicles - correct answer A)True
In transit plates may be used on motor vehicles - correct 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 - correct
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 - correct answer Employing
a properly licensed salesperson
The only items that can be added to an advertised price are - correct 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: - correct answer D)using point
of sale literature in advertising
A buyer agent may - correct 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? - 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.... - correct answer 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 - correct answer 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 - correct answer False
The license of a motor vehicle salesperson or a powersports salesperson may be denied,
revoked or suspended on the following grounds - correct answer D) all of the above
A dealer must take in the title in their own name before selling a car to retail customer - correct
answer 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 - correct
answer B) False
Records of vehicles transfers and odometer statements must be retained for: - correct answer
C) 5 year
Motor vehicle dealers, powersport dealers, used motor vehicle dealers, used powersports
dealers or wholesalers are not required to report to the dealer board - correct answer B) any
change in the hours of operation of the business when the business continues full time (review)
Which of the following would indicate a motor vehicle is "used" - correct answer A certificate of
title has been issued
A motor vehicle dealer is responsible for : - correct answer D) all of the above
An advertisement would include - correct answer D) all of the above
The license of a new or used dealer, wholesale auction dealer, or wholesaler may be denied,
suspended revoked or fined for the following - correct answer D) all of the above
Which of the following is a deceptive trade practice? - correct answer D) All of the above are
deceptive trade practices
, Demonstration plates can be displayed on vehicles that are used by the dealership for any
commercial purpose - correct answer true
A dealers advertising must contain the dealers licensed name and the words - correct answer C)
dealer
Which of the following does not fit the definition of a motor vehicle dealer - correct answer C)
someone who sells motor vehicles solely to wholesalers
Depot plates may be used during normal business hours to transport a motor vehicle - correct
answer D ) all of the above
Licensed powersport dealers may not sell powersports on Sundays ( verify) - correct answer
False
By definition an advertisement may include any commercial message on any computer display
or window, display which is delivered or made available to a customer or prospective customer
in any manner whatsoever - correct answer True ( verify)
The motor Vehicle dealer board is authorized and empowered to - correct answer D) all of the
above
The federal odometer law declares that it is unlawful to do any of the following except - correct
answer C) to operate a motor vehicle on any street, with the intent to defraud, knowing that
the odometer is disconnected
Dealer demo plates may be used on motor vehicles - correct answer D) properly assigned in the
name of the dealership
New and used motor vehicle dealers, powersports dealers, and wholesale auction dealers are
required to have a surety bond - correct answer D) all of the above
Motor vehicle and powersport salespeople are required to have a surety bond in the amount of
: - correct answer 15k$
The buyers guide or "as is" sticker must be - correct answer Provided to a customer in another
language than English
In advertisement motor vehicle, a dealer or salesperson may - correct answer Make reference
"dealer cost" or "invoice price"
Which of the following steps are require to properly and legally repossess a motor vehicle -
correct answer Effect a lien creating a security interest
Which of the following motor vehicles may be sold on Sundays? - correct answer C)Motor
Homes
