STATE OF COLORADO SALES LICENSE
ACTUAL EXAM 2026 QUESTIONS WITH
ANSWERS GRADED A+
◉ 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. Answer: 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
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
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.
,◉ The Motor Vehicle Dealer Board is authorized and empowered to:
a. investigate any suspected or alleged violation by any motor vehicle
salesperson
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. Answer: 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 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.
,https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
◉ Dealers may be administratively fined by the Dealer Board up to what
amount for
each separate offense?. Answer: (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 judge 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
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
◉ 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/Wholesaler
https://www.colorado.gov/pacific/enforcement/dealer-and-wholesaler-
motor-vehicle-powersports-auto-industry-division
, ◉ Motor vehicle salespersons are required to have a surety bond in the
amount of
$. Answer: Surety Bond with FULL LEGAL NAME in the amount of
$15,000. A photocopy may be submitted.
https://www.colorado.gov/pacific/enforcement/salesperson-auto-
industry-division
◉ 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
a person is engaged in the business of selling motor vehicles.. Answer:
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.
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
ACTUAL EXAM 2026 QUESTIONS WITH
ANSWERS GRADED A+
◉ 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. Answer: 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
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
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.
,◉ The Motor Vehicle Dealer Board is authorized and empowered to:
a. investigate any suspected or alleged violation by any motor vehicle
salesperson
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. Answer: 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 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.
,https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
◉ Dealers may be administratively fined by the Dealer Board up to what
amount for
each separate offense?. Answer: (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 judge 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
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
◉ 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/Wholesaler
https://www.colorado.gov/pacific/enforcement/dealer-and-wholesaler-
motor-vehicle-powersports-auto-industry-division
, ◉ Motor vehicle salespersons are required to have a surety bond in the
amount of
$. Answer: Surety Bond with FULL LEGAL NAME in the amount of
$15,000. A photocopy may be submitted.
https://www.colorado.gov/pacific/enforcement/salesperson-auto-
industry-division
◉ 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
a person is engaged in the business of selling motor vehicles.. Answer:
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.
https://www.colorado.gov/pacific/sites/default/files/January%207%2020
15%20Motor%20Vehicles%20laws.pdf
