CAR SALES TEST COLORADO STATE EXAM QUESTIONS AND ANSWERS (COLORADO MOTOR VEHICLE DEALER AND SALESPERSON LICENSING LAW) 2026-2027 NEW UPDATE

CAR SALES TEST COLORADO STATE
EXAM QUESTIONS AND ANSWERS
(COLORADO MOTOR VEHICLE DEALER
AND SALESPERSON LICENSING LAW)
2026-2027 NEW UPDATE
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:
Advertising a salvage vehicle while identifying the vehicle as a salvage vehicle
The advertise price of a motor vehicle must include:
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:
(i)
The amount or percentage of any downpayment.
(ii)
The number of payments or period of repayment.
(iii)
The amount of any payment.
(iv)
The amount of any finance charge.
Which of the following is a true statement regarding dealers and buyers
a dealer shall clearly indicate on the customer contract when a vehicle is sold "as-is and
without a garantee
Which of the following is not proof of ownership of a motor vehicle for a Colorado
dealer
Answer- A vehicle subject to lien on the title
2.0 Proof of Ownership Requirements
a. A used vehicle with a Colorado title:
2.1 All Colorado dealers or wholesalers must maintain the following evidence of
ownership for each
vehicle in their possession:
61
Auto Industry DivisionStudy Guide- Miscellaneous Statutes & Regulations
2. Odometer disclosure if required.
A used vehicle with an out-of-state title:
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:
MCO assigned or reassigned to a franchised dealer or wholesaler; and,