State of Colorado Sales License Test Exam Questions with Correct Verified Solutions Latest Update 2025/2026 Already A+ GRADED!!!100% GUARANTEED PASS!!

State of Colorado Sales License Test Exam Questions with Correct Verified Solutions Latest Update 2025/2026 Already A+ GRADED!!!100% GUARANTEED PASS!! 1. Records of vehicle transfers and odometer statements must be kept for 5 years - ANSWER TRUE 2. An advertisement would NOT include - ANSWER a salesperson's verbal statement of the MSRP 3. A dealer is not responsible for taking written action to attempt to correct a misleading advertisement placed by a manufacturer if the advertisement contains the dealers name - ANSWER False 4. Which is true of the Colorado Lemon Law? - ANSWER "a reasonable number of attempts" to repair applied when the motor vehicle has been out of service for repairs a cumulative total of 30 or more business days during the warranty term or 1 year from date of delivery 5. When advertising terms price conditions of sale of a car, dealers may use the term: - ANSWER "With approved credit" 6. according to Colorado law motor vehicle leasing companies do not need a motor vehicle dealers license - ANSWER False 7. The License of a motor vehicle salesperson may be denied revoked or suspended on the following grounds - ANSWER Unfitness of character breaking law false info etc. 8. An off-premise permit: - ANSWER Must be readily available for inspection at the sale 9. Prima Facie is - ANSWER Evidence at face value 10. According to Colorado law, which of the following must be licensed as a motor vehicle dealer and or powersports dealer? - ANSWER All of the above 11. Colorado Lemon law covers: - ANSWER defects that substantially impair the market value of a vehicle 12. A dealer may issue a temporary permits for each roadworthy vehicle sold - ANSWER FALSE 13. 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 14. 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 15. The motor vehicle dealer board does not have among its members - ANSWER three employees from the enforcement division 16. 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 17. 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 18. When advertising a specific number of motor vehicles that same number of vehicles must have been invoiced to the dealer - ANSWER True 19. When a salesperson leaves a dealer, that dealer must do all of the following except - ANSWER immediately employ a new salesperson, licensed or not 20. 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 21. 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 22. A new motor vehicle has three of the following characteristics. Which one doesn't it have? - ANSWER A title 23. A dealer wholesaler or salespersons convicted of any felony or any crime.. Has how many days to report conviction? - ANSWER 30 Days 24. 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 25. Wholesalers: - ANSWER must use a name other than their personal name on all business documents 26. 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 27. A dealer must take in the title in their own name before selling a car to a retail customer - ANSWER False 28. 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 29. 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 30. Records of vehicles transfers and odometer statements must be retained for: - ANSWER 5 years 31. Which of the following would indicate a motor vehicle is used - ANSWER A certificate of title has been issued 32. A motor vehicle dealer is responsible for: - ANSWER all of the above