Car Sales Test Colorado Exam Questions and
Answers
1. The License of a motor vehicle salesperson or a power sports
salesperson may be denied revoked, or suspended on any of the
following grounds except Correct Answer: -
Correct Answer: Advertising a salvage vehicle while identifying the vehicle as a salvage vehicle
2. The advertise price of a motor vehicle must include Correct Answer:
Correct Answer: Answer- Finance Charge
Advertisement of rate of finance charge. If an advertisement states a rate of finance
charge, it shall state the rate as an "annual percentage rate," using that term. If the
annual percentage rate may be increased after consummation, the advertisement shall
state that fact. If an advertisement is for credit not secured by a dwelling, the
advertisement shall not state any other rate, except that a simple annual rate or
periodic rate that is applied to an unpaid balance may be stated in conjunction with,
but not more conspicuously than, the annual percentage rate. If an advertisement is
for credit secured by a dwelling, the advertisement shall not
state any other rate, except that a simple annual rate that is applied to an unpaid
balance may be stated in conjunction with, but not more conspicuously than, the
annual percentage rate. Advertisement of terms that require additional
disclosures -
Triggering terms. If any of the following terms is set forth in an
advertisement, the advertisement shall meet the requirements of
paragraph (d)(2) of this section Correct Answer:
(i)
The amount or percentage of any
downpayment. (ii)
The number of payments or period of
repayment. (iii)
The amount of any
payment. (iv)
,Car Sales Test Colorado Exam Questions and
Answers
The amount of any finance charge.
3. Which of the following is a true statement regarding dealers and
buyers Correct Answer: a dealer shall clearly indicate on the customer contract when a
vehicle is sold "as-is and without a garantee
4. Which of the following is not proof of ownership of a motor
vehicle for a Colorado dealer Correct Answer: Answer- A vehicle subject to lien
on the title
2.0 Proof of Ownership Requirements
a. A used vehicle with a Colorado title Correct Answer:
,Car Sales Test Colorado Exam Questions and
Answers
2.1 All Colorado dealers or wholesalers must maintain the following evidence of ownership for
each vehicle in their possession Correct Answer:
61
Auto Industry DivisionStudy Guide- Miscellaneous Statutes & Regulations
2. Odometer disclosure if required.
A used vehicle with an out-of-state title Correct Answer:
Odometer disclosure if required; and,
Colorado Dealer's Out-of-State Vehicle Information Disclosure;
and, Colorado verification of Vehicle Identification Number.
A new vehicle assigned by MCO to a dealer or wholesaler Correct Answer:
MCO assigned or reassigned to a franchised dealer or wholesaler; and,
Odometer disclosure if required.
MCO reassigned to the franchised dealer or wholesaler; and,
Odometer disclosure if required; and,
Verification of vehicle identification number.
1. A Colorado title assigned to the dealer, wholesaler, or chain of ownership
evidenced by the Colorado Dealer's Bill(s) of Sale for a Motor Vehicle;
and,
1. The out-of-state title assigned to the dealer, wholesaler, or out-of-state
title with proper chain of ownership; and,
3. No dealer or wholesaler shall hold a MCO unless that dealer or
wholesaler is franchised to sell that specific make of vehicle as
indicated on the MCO.
d. A new vehicle assigned or re-assigned with its MCO from an out-of-state
franchised dealer or wholesaler to a franchised Colorado dealer or
wholesaler Correct Answer:
4. No dealer or wholesaler shall hold a MCO unless that dealer or
wholesaler is franchised to sell that specific make of vehicle as
indicated on the MCO.
e. If a title or an MCO has been surrendered by the dealer or wholesaler to a
bank or financing organization or any other person as collateral under a Floor
,Car Sales Test Colorado Exam Questions and
Answers
Plan agreement, the dealer or wholesaler must have in its possession evidence
ac
5. A buyers agent may Correct Answer: Correct Answer: Right answer- retained or hired by a
consumer for a fee or other thing of value to assist, represent, or
act on behalf of the consumer in connection with the purchase or lease of a
motor vehicle / powersport vehicle.
Answers
1. The License of a motor vehicle salesperson or a power sports
salesperson may be denied revoked, or suspended on any of the
following grounds except Correct Answer: -
Correct Answer: Advertising a salvage vehicle while identifying the vehicle as a salvage vehicle
2. The advertise price of a motor vehicle must include Correct Answer:
Correct Answer: Answer- Finance Charge
Advertisement of rate of finance charge. If an advertisement states a rate of finance
charge, it shall state the rate as an "annual percentage rate," using that term. If the
annual percentage rate may be increased after consummation, the advertisement shall
state that fact. If an advertisement is for credit not secured by a dwelling, the
advertisement shall not state any other rate, except that a simple annual rate or
periodic rate that is applied to an unpaid balance may be stated in conjunction with,
but not more conspicuously than, the annual percentage rate. If an advertisement is
for credit secured by a dwelling, the advertisement shall not
state any other rate, except that a simple annual rate that is applied to an unpaid
balance may be stated in conjunction with, but not more conspicuously than, the
annual percentage rate. Advertisement of terms that require additional
disclosures -
Triggering terms. If any of the following terms is set forth in an
advertisement, the advertisement shall meet the requirements of
paragraph (d)(2) of this section Correct Answer:
(i)
The amount or percentage of any
downpayment. (ii)
The number of payments or period of
repayment. (iii)
The amount of any
payment. (iv)
,Car Sales Test Colorado Exam Questions and
Answers
The amount of any finance charge.
3. Which of the following is a true statement regarding dealers and
buyers Correct Answer: a dealer shall clearly indicate on the customer contract when a
vehicle is sold "as-is and without a garantee
4. Which of the following is not proof of ownership of a motor
vehicle for a Colorado dealer Correct Answer: Answer- A vehicle subject to lien
on the title
2.0 Proof of Ownership Requirements
a. A used vehicle with a Colorado title Correct Answer:
,Car Sales Test Colorado Exam Questions and
Answers
2.1 All Colorado dealers or wholesalers must maintain the following evidence of ownership for
each vehicle in their possession Correct Answer:
61
Auto Industry DivisionStudy Guide- Miscellaneous Statutes & Regulations
2. Odometer disclosure if required.
A used vehicle with an out-of-state title Correct Answer:
Odometer disclosure if required; and,
Colorado Dealer's Out-of-State Vehicle Information Disclosure;
and, Colorado verification of Vehicle Identification Number.
A new vehicle assigned by MCO to a dealer or wholesaler Correct Answer:
MCO assigned or reassigned to a franchised dealer or wholesaler; and,
Odometer disclosure if required.
MCO reassigned to the franchised dealer or wholesaler; and,
Odometer disclosure if required; and,
Verification of vehicle identification number.
1. A Colorado title assigned to the dealer, wholesaler, or chain of ownership
evidenced by the Colorado Dealer's Bill(s) of Sale for a Motor Vehicle;
and,
1. The out-of-state title assigned to the dealer, wholesaler, or out-of-state
title with proper chain of ownership; and,
3. No dealer or wholesaler shall hold a MCO unless that dealer or
wholesaler is franchised to sell that specific make of vehicle as
indicated on the MCO.
d. A new vehicle assigned or re-assigned with its MCO from an out-of-state
franchised dealer or wholesaler to a franchised Colorado dealer or
wholesaler Correct Answer:
4. No dealer or wholesaler shall hold a MCO unless that dealer or
wholesaler is franchised to sell that specific make of vehicle as
indicated on the MCO.
e. If a title or an MCO has been surrendered by the dealer or wholesaler to a
bank or financing organization or any other person as collateral under a Floor
,Car Sales Test Colorado Exam Questions and
Answers
Plan agreement, the dealer or wholesaler must have in its possession evidence
ac
5. A buyers agent may Correct Answer: Correct Answer: Right answer- retained or hired by a
consumer for a fee or other thing of value to assist, represent, or
act on behalf of the consumer in connection with the purchase or lease of a
motor vehicle / powersport vehicle.
