WI DOT Motor Vehicle Salesperson Exam Flashcards

WI DOT Motor Vehicle Salesperson Exam Flashcards What happens if you terminate employment? You must give your license to the dealer.

True or false: the Dealer is responsible for providing proper

vehicle information?-True. The salesperson is responsible for disclosing proper vehicle information to the customer. Concealment of facts and failure to provide the above is illegal.When advertising a vehicle, you should always state the model year. True or false?True When advertising a certain type of vehicle, what should you do as the dealer?-Make sure enough are on hand for the anticipated demand-Know when the vehicles will be delivered within a reasonable time How should you advertise a new vehicle discount? You may use terms such as: "invoice" or "cost" when you disclose that the "actual dealer cost is, or may be less, due to factory holdback, rebates, incentives, or other discounts." What should you do if you need a duplicate license if yours is lost or destroyed?Your employer should complete a Salesperson Application for a duplicate license.If two or more vehicles were damaged in a hailstorm, flood or tornado, what is the proper thing to do?Disclose ALL information of damage in ALL ads.What does NOT need to be included in a vehicle's 6% damage disclosure when the replacement parts are identical to the manufacturer's original equipment?-glass damage-tire damage-bumper damage What are the requirements for a salesperson license?-18 years old-Agree to act in good faith-Familiar with MV sales laws, lease laws and contract laws What is an MSRP?A federally required label that must remain in the window of a new vehicle until delivered to its retail purchaser.What does the MSRP include?Information about standard equipment, options, base price, transportation charges, final assembly point and receiving dealer. The MSRP is not required for trucks.

True or false: Items or services which have not been

installed are optional?True What must the advertised price include?-All charges the customer will pay When any new, demonstrator or executive-driven vehicle has corrected damage of more than 6% of the MSRP, what must happen?A written disclosure must be presented to the purchaser before delivery of the vehicle.What does the Dealer supplemental price label need to list?-Optional equipment/accessories installed by dealer-final dealer price-any price changes from the MSRP, including mark-ups-any dealer service fee Do you need to obtain multiple licenses for dealership groups?No, if you are licensed at one location you may work at any other dealership location, at the discretion of the dealership.Who needs a motor vehicle salesperson license? Sales managers, general managers, sales reps, finance and insurance employees and the dealer if they are

negotiating vehicle sales or leases, or approving any contracts.

What advertisement phrasings can mislead customers and should be avoided?"Write your own deal!""Name your own price!" The emission standards certificate confirms what? That the vehicle's emission control systems have been properly installed and inspected.What is a pre-delivery inspection sheet? A form that reports a new vehicle's pre-delivery tests and inspections required by the manufacturer.What does the advertised price of the car NOT need to include?-Sales tax-Title and registration fees

MSRP stands for:Manufacturer's Suggested Retail Price

T or F: You can induce the purchase of a motor vehicle

which is misrepresented?

False: using false, deceptive or misleading advertising or

representation to induce the purchase of a motor vehicle is an unfair practice and is prohibited.If you have been denied your license...You may appeal to the Division of Hearings and Appeals.You will receive a letter of denial with the reason for denial and instructions for appeal.How can you indicate a vehicle is in used condition?Terms like, "used", "demonstrator", "executive", "low mileage" and "one-owner" will designate a vehicle has been used.How do you transfer your license to a new dealer? You must give your license to your former employer, complete a new Salesperson Application at your new dealer, your new employer will submit the license application. If yours has not expired, your new one will expire when your new employer's dealer license expires.Does the customer need a copy of the pre-delivery inspection sheet?Yes. Upon delivery, give the form to the customer.Are you allowed to tell a potential buyer that you will "pay up to a certain amount" or "appraise your own vehicle" or get "as much as" when you advertise a trade-in?No, you are not allowed to use those phrases.When advertising both leases and vehicles for sale, both must be clearly identified. True or false?True. If the advertisement only contains leases, this must be disclosed.What should be included when advertising vehicles for sale?Dealer's name How should one renew their license?Your employer is responsible for renewing your license and will submit the needed fee to the Dealer and Agent Section.Should you use the term "clearance" in your sales?Not unless the dealer is actually going out of business.Avoid other phrases like "close out" and "last of the remaining".

True or false: it is not necessary to give the customer the

emission standards certificate?False. This should be given to the customer upon delivery.How long must the MSRP label remain in the window?Until the vehicle is delivered to the customer.Where should advertised prices be posted? On the vehicle.How should the word "free" be used in advertisement of a vehicle?-Don't use the word "free" in any advertising if the customer must purchase something to receive the "free" merchandise, equipment, accessories or service. (You may instead state that an item is "included with" the purchase)

When does your license expire?When the employer's dealer license expires.If you have a criminal conviction...Under most circumstances you may be licensed. The Dealer and Agent Section will investigate convictions for any crime related to MV or fraud prior to approval or disproval.What happens if your license lapses?If your license expired more than 5 years ago, you will need to re-take the written exam and pay the fees.Where should you keep your license?In your possession whenever you are selling or leasing vehicles.