CALIFORNIA DEALER LICENSE TEST
LATEST EXAM QUESTIONS AND VERIFIED
ANSWERS
How many days does used vehicle dealer have to COMPLETE APPLICATION
complete application to the department from the date of sale?
a. 50
b. 30
c. 60
d. 20 - ANSWER-b. 30
How many days does used vehicle dealer have to CLEAR APPLICATION to the
department from the date of sale?
a. 20
b. 30
c. 50
d. 60 - ANSWER-c. 50
All deals negotiated in Spanish require the dealer to provide a spanish language
contract.
a. True
B. False - ANSWER-a. True
In advertising, a dealer must identify his herself by:
a. Slogan name or Business License Name
b. License number
c. Address - ANSWER-a. Slogan name or Business License Name
When a vehicle is sold prior to the expiration of the ad, the dealer has 48 hours to
request (IN WRITING) withdrawal of the vehicle ad or overprint the word "SOLD" over
particular vehicle.
a. True
b. False - ANSWER-a. True
When Advertising, which of the following does the Dealer not have to disclose?
a. Vehicle Identification Number or License number
b. Total price
c. Statement "not including taxes, doc & smog fees, registration & CA tire fee
d. Color - ANSWER-d. Color
It is unlawful to violate any law prohibiting Bait and Switching Advertising: the practice of
advertising a low price with the intent to switch the consumer to a higher priced vehicle.
a. True
, b. False - ANSWER-a. True
If the mileage exceed the mechanical function of the odometer and goes over 100,000
miles, this means that the odometer cannot register the actual mileage. You must:
a. Reset it
b. Replace it
c. Leave it and sell it with the vehicle "As Is"
d. You must disclose this with the purchaser - ANSWER-d. You must disclose this with
the purchaser
Is it illegal to tamper with the odometer, disconnect, reset or rollback, etc.
a. True
b. False - ANSWER-True
Prior history disclosure is required in writing that states if a vehicle is which of the
following:
a. Rental Vehicle
b. Taxi cab
c. Insurance Salvage vehicle
d. Former public vehicle
e. All of the above - ANSWER-d. All of the above
Which of the following are true regarding the Report of Sale(ROS)?
a. Dealer has 5 days to submit the bottom portion Report of Sale (not counting the date
of sale)
b. If late, dealer must pay $5.00 ASF penalty
c. Dealer must display bottom portion of ROS on Customer vehicle before delivery
d. All of the above - ANSWER-d. All of the above
A conditional Sales Contract contains which of the following?
a. Must be signed by both buyer and seller
b. Terms of financing must be disclosed
C. All of the above - ANSWER-C. All of the above
The maximum fee allowed for documentation preparation is:
a. $10
b. $25
c. $30
d. $65 - ANSWER-d. $65
The maximum fee allowed for smog is:
a. $15
b. $20
c. $30
d. $50 - ANSWER-d. $50
LATEST EXAM QUESTIONS AND VERIFIED
ANSWERS
How many days does used vehicle dealer have to COMPLETE APPLICATION
complete application to the department from the date of sale?
a. 50
b. 30
c. 60
d. 20 - ANSWER-b. 30
How many days does used vehicle dealer have to CLEAR APPLICATION to the
department from the date of sale?
a. 20
b. 30
c. 50
d. 60 - ANSWER-c. 50
All deals negotiated in Spanish require the dealer to provide a spanish language
contract.
a. True
B. False - ANSWER-a. True
In advertising, a dealer must identify his herself by:
a. Slogan name or Business License Name
b. License number
c. Address - ANSWER-a. Slogan name or Business License Name
When a vehicle is sold prior to the expiration of the ad, the dealer has 48 hours to
request (IN WRITING) withdrawal of the vehicle ad or overprint the word "SOLD" over
particular vehicle.
a. True
b. False - ANSWER-a. True
When Advertising, which of the following does the Dealer not have to disclose?
a. Vehicle Identification Number or License number
b. Total price
c. Statement "not including taxes, doc & smog fees, registration & CA tire fee
d. Color - ANSWER-d. Color
It is unlawful to violate any law prohibiting Bait and Switching Advertising: the practice of
advertising a low price with the intent to switch the consumer to a higher priced vehicle.
a. True
, b. False - ANSWER-a. True
If the mileage exceed the mechanical function of the odometer and goes over 100,000
miles, this means that the odometer cannot register the actual mileage. You must:
a. Reset it
b. Replace it
c. Leave it and sell it with the vehicle "As Is"
d. You must disclose this with the purchaser - ANSWER-d. You must disclose this with
the purchaser
Is it illegal to tamper with the odometer, disconnect, reset or rollback, etc.
a. True
b. False - ANSWER-True
Prior history disclosure is required in writing that states if a vehicle is which of the
following:
a. Rental Vehicle
b. Taxi cab
c. Insurance Salvage vehicle
d. Former public vehicle
e. All of the above - ANSWER-d. All of the above
Which of the following are true regarding the Report of Sale(ROS)?
a. Dealer has 5 days to submit the bottom portion Report of Sale (not counting the date
of sale)
b. If late, dealer must pay $5.00 ASF penalty
c. Dealer must display bottom portion of ROS on Customer vehicle before delivery
d. All of the above - ANSWER-d. All of the above
A conditional Sales Contract contains which of the following?
a. Must be signed by both buyer and seller
b. Terms of financing must be disclosed
C. All of the above - ANSWER-C. All of the above
The maximum fee allowed for documentation preparation is:
a. $10
b. $25
c. $30
d. $65 - ANSWER-d. $65
The maximum fee allowed for smog is:
a. $15
b. $20
c. $30
d. $50 - ANSWER-d. $50
