COLORADO SALES LICENSE TEST 2026
EXAMINATION TEST COMPLETE Q&A GRADED
A+
◉ The Colorado consumer protection act declares bait and switch
advertising to be deceptive trade practice. Bait and switch
advertising includes which of the following Answer: 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? Answer: motor
vehicles with out-of-state titles
◉ The motor vehicle dealer board does not have among its members
Answer: three employees from the enforcement division
◉ Three of the following are characteristics of an off-premise
permit. . Which one is not? 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? Answer: 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 Answer:
True
◉ When a salesperson leaves a dealer, that dealer must do all of the
following except Answer: immediately employ a new salesperson,
licensed or not
◉ The license of a motor vehicle salesperson or a powersports
salesperson may be denied, revoked, or suspended on any of the
following grounds except: Answer: using point of sale literature in
advertising
◉ A new or used motor vehicle dealer may legally do which of the
following with a temporary permit? Answer: issue a permit upon the
sale of a motor vehicle to another dealer
◉ A new motor vehicle has three of the following characteristics.
Which one doesn't it have? Answer: A title
◉ A dealer wholesaler or salespersons convicted of any felony or
any crime.. Has how many days to report conviction? Answer: 30
Days
, ◉ The definition of a used mother vehicle dealer or used
powersports dealer includes which of the following ? 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
◉ Wholesalers: Answer: 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 Answer: False
◉ A dealer must take in the title in their own name before selling a
car to a retail customer Answer: 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 Answer: False
◉ Which of the following is acceptable proof of ownership of a
motor vehicle for a Colorado dealer? Answer: A vehicle subject to a
lien on the tile
EXAMINATION TEST COMPLETE Q&A GRADED
A+
◉ The Colorado consumer protection act declares bait and switch
advertising to be deceptive trade practice. Bait and switch
advertising includes which of the following Answer: 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? Answer: motor
vehicles with out-of-state titles
◉ The motor vehicle dealer board does not have among its members
Answer: three employees from the enforcement division
◉ Three of the following are characteristics of an off-premise
permit. . Which one is not? 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? Answer: 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 Answer:
True
◉ When a salesperson leaves a dealer, that dealer must do all of the
following except Answer: immediately employ a new salesperson,
licensed or not
◉ The license of a motor vehicle salesperson or a powersports
salesperson may be denied, revoked, or suspended on any of the
following grounds except: Answer: using point of sale literature in
advertising
◉ A new or used motor vehicle dealer may legally do which of the
following with a temporary permit? Answer: issue a permit upon the
sale of a motor vehicle to another dealer
◉ A new motor vehicle has three of the following characteristics.
Which one doesn't it have? Answer: A title
◉ A dealer wholesaler or salespersons convicted of any felony or
any crime.. Has how many days to report conviction? Answer: 30
Days
, ◉ The definition of a used mother vehicle dealer or used
powersports dealer includes which of the following ? 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
◉ Wholesalers: Answer: 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 Answer: False
◉ A dealer must take in the title in their own name before selling a
car to a retail customer Answer: 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 Answer: False
◉ Which of the following is acceptable proof of ownership of a
motor vehicle for a Colorado dealer? Answer: A vehicle subject to a
lien on the tile
