Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
86 Cards in this Set
- Front
- Back
When the odometer past 99,999 miles on a 5 digit odometer, a dealer must?
|
Advise the buyer and mark the 262 form as "exceeds the mechanical limits"
|
|
Which of the following is a correct statement of the law with regard to smog checks:
|
A dealer must have a smog check for every vehicle offered for sale to the public
|
|
Your occupational license will be automatically canceled without a hearing if:
|
Your sellers permit is revoked
You have a bond reduction You take your make sign down and relinquish your office |
|
When is a Federal Buyers Guide Required to be display?
|
Whenever the vehicle is being display for sale in the dealers display area
|
|
How much is the vehicle transfer fee, on a California registered vehicle
|
$15 dlls
|
|
When is a retail dealer required to maintain a vehicle display area?
|
At all times while licensed
|
|
How many hours does a dealer have to notify the advertiser, in writing that a vehicle has been sold or withdrawn?
|
48 hours
|
|
When is it proper to reset an odometer?
|
Never
|
|
If you are an autobroker, then you must also be licensed as a?
|
Dealer
|
|
When you are a dealer selling a car to a retail customer, when is it proper for the dealer to allow the customers to obtain a smog certificate of their own?
|
Never
|
|
If a dealer is suspected of viloating th laws that regulate dealers, wich of the following actions may be taken against the dealer?
|
Administrative hearing
Possible prosecution by the District Attorney Civil Action for money damages |
|
How many days after a vehicle is sold does a dealer have to pay the cosignor (person you sold the car for)
|
20 Days
|
|
What would be an exception to the no cooling off period
|
In the event of fraud or where the seller agrees to cancel the sale
|
|
What is a conditional sales contract?
|
A contract where the sale is conditioned upon the buyer obtaining financing and where a lien is created
|
|
Which document is used to accout for the total cost and terms of payments?
|
The coditional sales contract
|
|
When is it proper for a dealer to give a report of sale to another?
|
Never
|
|
What is the minimum size for a main sign for a retail dealer?
|
2 square feet
|
|
Which of the following things must a dealer have?
|
Sign with the dealership name and address
An office for the use of the dealer Display area for the display of cars |
|
If a dealer plans on changing the location of his established place of business, when is it required to notify the DMV?
|
immediately
|
|
When is a dealer, who sells a vehicle that has a title branded SALVAGE, required to disclose the status of the title to the retail customer?
|
Before the sale of the vehicle
|
|
Which is the main body of law used to regulate dealers?
|
The vehicle code
|
|
What will happen if a dealer unkowingly buys a stolen car?
|
The dealer will have to return the car to the rightful owner
|
|
How much is the most that can be charged for a document preparation fee?
|
$45
|
|
Before you can apply for your dealer license, you need to get a resale permit (sellers permit) from where?
|
The state board of equalization
|
|
What is required in an auto dealers advertisement for a vehicle for sale?
|
Make and model
VIN Dealership name |
|
When is it acceptable to keep excess registration fees paid by the customer?
|
Never
|
|
Which of the following persons must have a salespersons license at an auto delareship?
|
Salesperson
Sales Manager Finance Manager |
|
As of january 1, 2003 a Retail Dealer must maintain a bond in the amount of?
|
$50,000 dlls
|
|
What is the purpose of Division 12 of the vehicle code?
|
Regulates the manner in wich vehicles are equipped for safe operation
|
|
How many cars can a private individual legally sell per year with an intent to profit?
|
None
|
|
Division 12 safety requirement may be waived:
|
Never
|
|
After selling a vehicle in California, How many days does a dealer have to mail the USED VEHICLE DEALER NOTICE to the DMV?
|
5 Days
|
|
After selling a vehicle in California, how many days does a dealer have to submit the report of sale application copy, supporting documents and fees to the DMV?
|
30 Days
|
|
What are examples of when a dealer MUST disclose vehicle history in writing?
|
Frame damage, Salvage title, Lemon Law buyback title, fire, flood, or odmeter discrepancies.
|
|
Which is a DMV policy, but not an actual law?
|
Dealers may not use highlighter pens.
|
|
If you run out of report of sales where can an emergency supply be obtained?
|
Call your DMV Inspector for an emergency supply.
|
|
How much is the Administrative Service Fee (ASF) If a dealer fails to mail the dealer notice portion of the report of sale within 5 days OR fail to submit the title, application copy of the report of sale and supporting documents within 30 days?
|
$5 dlls
|
|
What will happen if you fail to renew your dealer license on time and enter the 30 day grace?
|
You will keep the dealer license as long as you pay the renewal fee PLUS a $150 penalty (100% of initial application) plus a prorated fine for each dealer plate.
|
|
If you fail to submit the title, report of sale application copy and supporting documents to the DMV within 50 days after you sell a car, how much of an administrative service fee will you be charged?
|
$25 dlls
|
|
How often will you be required to take continuing dealer education?
|
every 2 years
|
|
How many questions are in the dealers test multiple choice?
|
40
|
|
Passing score?
|
70% or 28 right questions
|
|
How much time is the test for?
|
:50 minutes
|
|
How do you make an appointment to take the test?
|
Contact the nearest DMV isnpector
|
|
Get a business license from:
|
THE CITY
|
|
Get your sellers permit from:
|
STATE BOARD OF EQUALIZATION
|
|
Get a fictitious name statement from:
|
COUNTY RECORDER
|
|
For $70 dlls more you can get a brokers
|
ENDORSEMENT
|
|
Get your property use verification form signed by the
|
CITY PLANNING DEPARTMENT
|
|
Wholesale dealers need a bond in the amount of:
|
$10,000 dlls if they sell less than 25 cars per year.
|
|
The dealer license application fee is?
|
$150 dlls
|
|
Each dealer plate cost
|
$41 dlls plus county fees
|
|
Your dealer license is renew:
|
every year
|
|
How many hrs of continuing education is needed to maintain the license?
|
4 Hours
|
|
The fingerprinting is called:
|
LIVE SCAN fingerprinting
|
|
What causes an automatic cancellation of your dealers license?
|
Bond reductions and Bond lapses
|
|
Who do you called for a cheap E-Z bond?
|
ANNE
|
|
The Conditional Sales Contract must include all:
|
Cost and Terms of payment.
|
|
Conditional sales contract must be used when:
|
Sale involves FINANCING
|
|
Conditional sales contract COPY must be furnished to:
|
BUYER
|
|
Conditional Sales Contract must be in:
|
WRITING
|
|
And include signatures of:
|
BUYER AND SELLER
|
|
Types of Conditional Sales Contract:
|
PRECOMPUTED
SIMPLE INTEREST |
|
Maximum Motor vehicle financing allowable interest rate?
|
29.9% APR
|
|
Early payoff of loan under PRECOMPUTED interest
|
BAD deal for the consumer
|
|
An Upside down trade in means:
|
BUYER OWES MORE THAN CAR IS WORTH
|
|
Financing falls trough the dealer has
|
10 day recission right to cancel the contract
|
|
TRUTH IN LENDING
|
Contract not executed means the customer can not take delivery unless the contract is signed
|
|
TRUTH IN LENDING
|
You must resell a repo vehicle in a commercially reasonable manner
|
|
TRUTH IN LENDING max documentation prep fee:
|
$45 dlls
|
|
A break in the contract is also known as a:
|
BREACH
|
|
After the REPO, mail the customer a notice of intent to:
|
DISPOSE
|
|
REDEMPTION means:
|
The customer must pay balance in full
|
|
The customer has:
|
15 days to reinstate or redeem
|
|
If you resell the car and make lees than the customer owe you, you can sue the customer for a:
|
DEFICIENCY
|
|
The Gramm-Leach-Bliley Act is a law that protects the customers
|
PRIVACY
|
|
SALES AND USE TAX
The use tax rate is the same rate as |
SALES TAX
|
|
BOE stands for:
|
BOARD OF EQUALIZATION
|
|
What is taxable?
|
Price of VEHICLE + accesories/Document PREPARATION FEE
|
|
FEE smog paid to:
|
SELLER
|
|
You charge the tax rate of the county where the customer:
|
LIVES
|
|
The BOE:
|
Can audit your records at anytime
|
|
BOE website
|
www.boe.ca.gov
|
|
The gral rule is to collect tax from:
|
RETAIL PUBLIC
|
|
You report (pay) the tax to:
|
BOE
|
|
OUT of state sales require either a bill of
|
LANDING or form number BT448
|