State of Colorado Sales License Test Exam
Questions And Answers Verified 100% Correct
Wholesalers may? - ANSWER -Sell to dealers and other wholesalers
or
Make a profit or gain selling to dealers and wholesalers
The license of a Motor vehicle salesman may be revoked/suspended on the
following grounds: - ANSWER -Violating any of the terms and provisions
The license of a Motor vehicle salesman may be revoked/suspended on all
grounds EXCEPT: - ANSWER -advertising a salvaged vehicle while identifying
that vehicle as salvaged
The advertised price of a Motor vehicle must include: - ANSWER -dealer
handling and preparation charges
Which must remain in the window of a new motor vehicle until its sold to the
ultimate purchaser? - ANSWER -Moroney label
A Motor vehicle dealer, wholesaler, or salesperson must give Dealer Board
written notice of - ANSWER -If hours of business are going to change
Motor vehicles with demo plates may be loaned to charity organizations and
celebrities - ANSWER -False
Which is a false statement regarding dealers and buyers - ANSWER -A dealer
must offer a warranty on all motor vehicles sold
in addition to possible dealer bond sanctions, if a dealer/salesperson uses bait &
switch it is a class 2 misdemeanor with 12 months maximum jailtime and $1,000
fine or both - ANSWER -TRUE
What is the highest fine per offense the dealer board may impose on dealers who
sell vehicles less than 1500 lbs? - ANSWER -$500
, The license of a Motor vehicle salesperson or PWSPT may be
denied/revoked/suspended on any of the following grounds except - ANSWER -
improperly withholding/misappropriating/converting to ones own use any money
belonging to customers or any persons received in employment as a salesperson
according to Colorado law which does NOT need to be licensed as a motor vehicle
dealer? - ANSWER -All of the above
The Motor Vehicle Dealer Board does NOT have among its members: - ANSWER
-Three employees from the dept. of revenue
A buyer agent - ANSWER -is retained or hired by a consumer to
assist/represent/act on behalf of such consumer in connection with the purchase of
lease of a Motor vehicle
Local law enforcement agencies must be notified within 4 hours after the
repossession of a Motor Vehicle - ANSWER -False
1 hour
The license of a new or used dealer/Wholesaler may be denied/suspended
/revoked /fined for the following - ANSWER -Making a material misstatement in
an application of license
A customer's trade-in vehicle on a financed deal may be sold - ANSWER -Only
when the financing has been approved and the contract binding has been signed
Which is NOT required when advertising a closed end credit sale? - ANSWER -
Tax Rate
Which is not a deceptive trade practice? - ANSWER -Disclosing to the purchaser
in writing prior to the sale that a vehicle is a salvage
The Motor Vehicle dealer board may decide how large a fine to impose on a
dealer who sells vehicles <1500lbs, as long as it does not exceed $5,000 -
ANSWER -False
$10,000
The Motor Vehicle Dealer board is authorized and empowered to - ANSWER -All
of the above
-propose fees
Questions And Answers Verified 100% Correct
Wholesalers may? - ANSWER -Sell to dealers and other wholesalers
or
Make a profit or gain selling to dealers and wholesalers
The license of a Motor vehicle salesman may be revoked/suspended on the
following grounds: - ANSWER -Violating any of the terms and provisions
The license of a Motor vehicle salesman may be revoked/suspended on all
grounds EXCEPT: - ANSWER -advertising a salvaged vehicle while identifying
that vehicle as salvaged
The advertised price of a Motor vehicle must include: - ANSWER -dealer
handling and preparation charges
Which must remain in the window of a new motor vehicle until its sold to the
ultimate purchaser? - ANSWER -Moroney label
A Motor vehicle dealer, wholesaler, or salesperson must give Dealer Board
written notice of - ANSWER -If hours of business are going to change
Motor vehicles with demo plates may be loaned to charity organizations and
celebrities - ANSWER -False
Which is a false statement regarding dealers and buyers - ANSWER -A dealer
must offer a warranty on all motor vehicles sold
in addition to possible dealer bond sanctions, if a dealer/salesperson uses bait &
switch it is a class 2 misdemeanor with 12 months maximum jailtime and $1,000
fine or both - ANSWER -TRUE
What is the highest fine per offense the dealer board may impose on dealers who
sell vehicles less than 1500 lbs? - ANSWER -$500
, The license of a Motor vehicle salesperson or PWSPT may be
denied/revoked/suspended on any of the following grounds except - ANSWER -
improperly withholding/misappropriating/converting to ones own use any money
belonging to customers or any persons received in employment as a salesperson
according to Colorado law which does NOT need to be licensed as a motor vehicle
dealer? - ANSWER -All of the above
The Motor Vehicle Dealer Board does NOT have among its members: - ANSWER
-Three employees from the dept. of revenue
A buyer agent - ANSWER -is retained or hired by a consumer to
assist/represent/act on behalf of such consumer in connection with the purchase of
lease of a Motor vehicle
Local law enforcement agencies must be notified within 4 hours after the
repossession of a Motor Vehicle - ANSWER -False
1 hour
The license of a new or used dealer/Wholesaler may be denied/suspended
/revoked /fined for the following - ANSWER -Making a material misstatement in
an application of license
A customer's trade-in vehicle on a financed deal may be sold - ANSWER -Only
when the financing has been approved and the contract binding has been signed
Which is NOT required when advertising a closed end credit sale? - ANSWER -
Tax Rate
Which is not a deceptive trade practice? - ANSWER -Disclosing to the purchaser
in writing prior to the sale that a vehicle is a salvage
The Motor Vehicle dealer board may decide how large a fine to impose on a
dealer who sells vehicles <1500lbs, as long as it does not exceed $5,000 -
ANSWER -False
$10,000
The Motor Vehicle Dealer board is authorized and empowered to - ANSWER -All
of the above
-propose fees
