Page 1 of 61
NEW COLORADO CAR SALES MASTERY ACTUAL
EXAM QUESTIONS AND ANSWERS NEWLY
MODIFIED
The motor Vehicle dealer board is authorized and empowered to -- ANSWER--D) all of the
above
The federal odometer law declares that it is unlawful to do any of the following except --
ANSWER--C) to operate a motor vehicle on any street, with the intent to defraud, knowing
that the odometer is disconnected
Dealer demo plates may be used on motor vehicles -- ANSWER--D) properly assigned in the
name of the dealership
The license of a motor vehicle salesperson or power-sports salesperson may be denied,
revoked or suspended on any of the following grounds except: -- ANSWER--b) advertising a
salvaged vehicle while identifying the vehicle as a salvage vehicle
According to colorado law, which of the following must be licensed as a motor vehicle dealer
and or powersports dealer? -- ANSWER--d) All of the above
Colorado Lemon law covers: -- ANSWER--c)defects that substantially impair the market
value of a vehicle
Three of the following are required to be disclosed in an advertisement when a dealer is
advertisement a closed end credit sale of a mother vehicle or powersports...except? --
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, Page 2 of 61
ANSWER--d) tax rate
The motor vehicle dealer board is authorized and empowered to: -- ANSWER--D)all of the
above
Local law enforcement officers must be notified within ___ hours before or after the
repossession of a motor vehicle occurs: -- ANSWER--A)1 hours
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on their
principal place of business if: -- ANSWER--B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold -- ANSWER--B)
false (verify)
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 new or used dealer, wholesale auction dealer or wholesaler may be denied
suspended, revoked or fined for all of the following grounds except -- ANSWER--Employing
a properly licensed salesperson
The only items that can be added to an advertised price are -- ANSWER--C) Dealer handling
and preparation charges
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, Page 3 of 61
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--D)using point
of sale literature in advertising
state transport of vehicles offered for sale, consigned to be sold, or owned by a dealer. b. Are
being operated from point of purchase to the point of storage, or from the point of storage to
the point of sale. c. Are for demonstration purposes only when a dealership employee is in the
vehicle with the prospective buyer. d. Are in a safe roadworthy condition. 2. Dealer InTransit
license plates may not be displayed on vehicles that: 76 Auto Industry Division Study Guide-
Miscellaneous Statutes & Regulations a. Are being operated by prospective buyers without a
dealership employee being present in the vehicle while being operated, or; b. Have been sold,
leased, or rented, or; c. Are dealer or dealership employees' personal vehicles, or;
d. Are loaned or donated by the dealership, or; e. Are being pulled, hauled or are otherwise
considered cargo, or; f. Are tow vehicles or parts pickup/delivery vehicles.
according to COlorado law, which of the following does not need to be a licenses as a motor
vehicle dealer and/or powersports dealer? -- ANSWER--a buyers agent
Licensed salespersons cannot obtain a buyer agent license because they receive compensation
from a dealer. Buyer agents are strictly prohibited from being employed or receiving any fee
from a dealer.
a dealer must take the title in their own name before selling a car to a retail customer --
ANSWER--Unsure... False
The motor vehicle dealer board may be decide how large a fine to impose on a dealer who
sells primarily vehicles that weigh 1,500 pounds or more so long as it does not exceed 5k --
ANSWER--a)True (verify)
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, Page 4 of 61
The Colorado's consumer protection act declares bait and switch advertising to be deceptive
trade practice. Bait and switch advertising includes which of the following -- ANSWER-d)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--B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members -- ANSWER--c)three
employees from the enforcement division
What is the highest fine per offense that the motor vehicle dealer board or an administrative
law judge may impose on a dealer , who sells primarily vehicles that weigh less than 1,500
pounds -- ANSWER--$1,000
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--B) 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--A)True
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NEW COLORADO CAR SALES MASTERY ACTUAL
EXAM QUESTIONS AND ANSWERS NEWLY
MODIFIED
The motor Vehicle dealer board is authorized and empowered to -- ANSWER--D) all of the
above
The federal odometer law declares that it is unlawful to do any of the following except --
ANSWER--C) to operate a motor vehicle on any street, with the intent to defraud, knowing
that the odometer is disconnected
Dealer demo plates may be used on motor vehicles -- ANSWER--D) properly assigned in the
name of the dealership
The license of a motor vehicle salesperson or power-sports salesperson may be denied,
revoked or suspended on any of the following grounds except: -- ANSWER--b) advertising a
salvaged vehicle while identifying the vehicle as a salvage vehicle
According to colorado law, which of the following must be licensed as a motor vehicle dealer
and or powersports dealer? -- ANSWER--d) All of the above
Colorado Lemon law covers: -- ANSWER--c)defects that substantially impair the market
value of a vehicle
Three of the following are required to be disclosed in an advertisement when a dealer is
advertisement a closed end credit sale of a mother vehicle or powersports...except? --
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, Page 2 of 61
ANSWER--d) tax rate
The motor vehicle dealer board is authorized and empowered to: -- ANSWER--D)all of the
above
Local law enforcement officers must be notified within ___ hours before or after the
repossession of a motor vehicle occurs: -- ANSWER--A)1 hours
All motor vehicle dealers and power-sports dealers must post a clear, legible sign on their
principal place of business if: -- ANSWER--B) they will be open less than 40 hours a week
A dealer may issue a temporary permits for each roadworthy vehicle sold -- ANSWER--B)
false (verify)
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 new or used dealer, wholesale auction dealer or wholesaler may be denied
suspended, revoked or fined for all of the following grounds except -- ANSWER--Employing
a properly licensed salesperson
The only items that can be added to an advertised price are -- ANSWER--C) Dealer handling
and preparation charges
Page | 2
, Page 3 of 61
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--D)using point
of sale literature in advertising
state transport of vehicles offered for sale, consigned to be sold, or owned by a dealer. b. Are
being operated from point of purchase to the point of storage, or from the point of storage to
the point of sale. c. Are for demonstration purposes only when a dealership employee is in the
vehicle with the prospective buyer. d. Are in a safe roadworthy condition. 2. Dealer InTransit
license plates may not be displayed on vehicles that: 76 Auto Industry Division Study Guide-
Miscellaneous Statutes & Regulations a. Are being operated by prospective buyers without a
dealership employee being present in the vehicle while being operated, or; b. Have been sold,
leased, or rented, or; c. Are dealer or dealership employees' personal vehicles, or;
d. Are loaned or donated by the dealership, or; e. Are being pulled, hauled or are otherwise
considered cargo, or; f. Are tow vehicles or parts pickup/delivery vehicles.
according to COlorado law, which of the following does not need to be a licenses as a motor
vehicle dealer and/or powersports dealer? -- ANSWER--a buyers agent
Licensed salespersons cannot obtain a buyer agent license because they receive compensation
from a dealer. Buyer agents are strictly prohibited from being employed or receiving any fee
from a dealer.
a dealer must take the title in their own name before selling a car to a retail customer --
ANSWER--Unsure... False
The motor vehicle dealer board may be decide how large a fine to impose on a dealer who
sells primarily vehicles that weigh 1,500 pounds or more so long as it does not exceed 5k --
ANSWER--a)True (verify)
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, Page 4 of 61
The Colorado's consumer protection act declares bait and switch advertising to be deceptive
trade practice. Bait and switch advertising includes which of the following -- ANSWER-d)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--B)motor vehicles with out-of-state titles
The motor vehicle dealer board does not have among its members -- ANSWER--c)three
employees from the enforcement division
What is the highest fine per offense that the motor vehicle dealer board or an administrative
law judge may impose on a dealer , who sells primarily vehicles that weigh less than 1,500
pounds -- ANSWER--$1,000
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--B) 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--A)True
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