Final Exam

A dealer must withdraw an advertisement of a vehicle within ______ after the vehicle is sold.

Former taxicabs, rental vehicles, publicly owned vehicles, insurance salvage vehicles and revived salvage vehicles shall be clearly identified as such to the consumer if the previous status is known to the seller.

The dealer is responsible for administering a smog check on a vehicle before it is offered for retail sale.

Wholesale dealers and anyone selling less than 5 vehicles a year are exempt from the requirement of posting a Buyer’s Guide on a vehicle before offering it for sale.

With respect to financing a motor vehicle, the “Simple Interest Basis” must be used if the term of the loan is ______ months.

What is the maximum you can charge for a smog fee and certificate?

You have ____ days to process the Report of Sale on the first submission to DMV.

Each financial institution or creditor that offers or maintains one or more covered accounts must develop and implement a written identity theft prevention program, also known as the ________________.

Before a dealer’s license is issued or renewed, the applicant must obtain a surety bond conditioned that the dealer will not practice any fraud or make any fraudulent representation which will cause a monetary loss to a ______________.

The bond of a dealer who deals exclusively in motorcycles or all-terrain vehicles shall be in the amount of ____________.

Additional display areas are permitted within a radius of ___________ from the principal place of business and any licensed branch location without being subject to separate licensing.

A dealer conducting more than one type of business from their established place of business must provide a clear physical division between the types of business involving vehicles or their component parts.

A dealer’s established place of business and branch location(s) must have posted in a place conspicuous to the public a sign or device providing the _______________.

All business records relating to vehicle purchase, sale, rental or lease transactions shall be retained by the dealership for a period of not less than ______ years.

A dealer branch is any location, other than the principal place of business of the dealer, maintained for the sale or exchange of vehicles.

A dealer intending to sell a vehicle at a location other than the principal place of business or a branch location must complete an application for a ___________________.

An applicant can obtain an auto broker license and broker vehicle sales without obtaining a retail or wholesale-only dealer license from the DMV.

If the dealer license renewal application is not made on time, it may be made within _____ days following expiration of the license or the license will be _____. .

A conditional sale contract is required for vehicles which are financed or purchased for cash.

The dealer must deliver to the buyer of a motor vehicle a fully executed copy of the conditional sale contract ___________ delivering the vehicle to the buyer.

Any payment made by a buyer to a dealer pending execution of a conditional sale contract may be retained by the dealer in the form of a nonrefundable deposit in the event the conditional sale contract is not executed.

In consideration of the assignment of a conditional sale contract, the dealer shall not receive or accept from the assignee an annual percentage rate that exceeds _______ for a loan term of 5 years or less or _______ for a loan term exceeding 5 years.

A dealer cannot sell a used vehicle with a purchase price below __________ at retail to an individual for personal, family, or household use without offering the buyer a _________ contract cancellation option agreement that allows the buyer to return the vehicle without cause.

A consumer who purchases a contract cancellation option agreement must be permitted to drive the vehicle for at least _______ miles during the contracted period.

The buyer is responsible for performing the smog check inspection for a retail sale.

Dealers may charge buyers fees for penalties that accrued prior to the vehicle entering the dealer inventory, unless those penalties accrued through untimely submission of fees and/or documents by the dealer.

A dealer is not required to collect sales tax for a vehicle to be registered out of state if the buyer drives the vehicle off the lot.

A dealer cannot display or offer for retail sale a used vehicle unless he first obtains a _______________ to identify whether a vehicle has been or reported as a junk or salvage automobile or the certificate of title contains a brand.

A dealer cannot sell a new or used vehicle that is not in compliance with the requirements set forth in ___________________, unless the vehicle is sold to another dealer, sold for the purpose of being legally wrecked or dismantled, or sold exclusively for off-highway use.

A dealer may use a simulated check in an advertisement for the sale or lease of a vehicle.

A dealer can advertise for sale or sell a used vehicle as “certified” if the vehicle sustained frame damage in a collision, but was successfully repaired.

A dealer who sells of a motor vehicle that is a “Lemon Law Buyback” must disclose such information to the buyer before the sale is consummated, either orally or in writing.

The owner of the dealership may only operate a vehicle with special plates for business purposes.

Any licensed driver may operate a vehicle with special plates for any purpose if the owner of the dealership is also in the vehicle.

An unaccompanied licensed driver, who regularly resides in the immediate household of the owner of the dealership may operate a vehicle with special plates solely to ________________.

A dealer must notify the DMV by mail within _______ days of the employment or termination of employment of a salesperson.

A dealer is not allowed to compensate a friend, former customer, or anyone referring them business unless such person is a licensed dealer, salesperson, or auto broker. A dealer who violates this rule is paying third parties a ______________.

A Wholesale-Only Dealer-Applicant intending to sell less than 25 vehicles per year may post a vehicle dealer surety bond in the amount of _________

A dealer can broker a vehicle sale without an auto broker’s endorsement.

A dealer who is a Business Partner Automation Program Participant can charge the consumer _______ for document preparation service fees.