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WISCONSIN CAR SALES TEST FOR
WISCONSIN AUTO SALESPERSON LICENSE |
ALL QUESTIONS AND CORRECT ANSWERS |
LATEST VERSION | GRADED A+ | VERIFIED
ANSWERS | JUST RELEASED
Who needs a motor vehicle salesperson license? ------CORRECT ANSWER---------------anyone who wants to sell/lease vehicles in Wisconsin What are the requirements for a salesperson license? ------CORRECT ANSWER---------------- 18 + years old
- agree to follow the "good faith" salesperson standards
- familiar to sales contract laws How do you renew your license? ------CORRECT ANSWER--------------- Your employer renews the license and pays the fee. There is no written text for renewals How do you get a duplicate salesperson license? ------CORRECT ANSWER---------------Employer completes the application for your lost/destroyed licenses What happens when you change dealerships? ------CORRECT ANSWER--- ------------during your licensed period you give your license o the former employer and complete a new application at the new place of employment
What do you do when you terminate emplyment? ------CORRECT ANSWER---------------when you terminate employment you give your license to your employer before leaving What is a lapsed license? ------CORRECT ANSWER---------------when your WI license expired more than 5 years ago. you will need to retake the written test. fee and application is the same as first time applicants What happens if there's a criminal conviction? ------CORRECT ANSWER--- ------------under most circumstances you may be licensed even if you are convicted of a crime. the dealer/agent will investigate before approving or denying your license. What do you do if you were Denied? ------CORRECT ANSWER--------------- if your application on a motor vehicle salesperson license is declined you may appeal to the division of hearing and appeals. if your application is denied you'll receive a denial letter which contains reasons why and instructions on how to get an appeal What is a Dealership group? ------CORRECT ANSWER---------------A dealership group is 2 or more dealerships with the same majority owner. What arent you allowed to do when Advertising? ------CORRECT ANSWER---------------Using False, deceptive or misleading advertising or representations to induce the purchaser of a motor vehicle is an unfair proactive and is prohibited
Finance charges must be stated in: ------CORRECT ANSWER--------------- Annual percentage rate Full disclosure of credit terms must be made: ------CORRECT ANSWER---- -----------Before a sale is consummated. The following is required to be disclosed under regulation Z (truth in lending) of the consumer credit protection act: ------CORRECT ANSWER--- -------------amount financed
- late fees and APR
- schedule of payments If a financing company denies a loan application, it must: ------CORRECT ANSWER---------------Provide the applicant with a written statement explaining the reason of denial within 30 days When can an inquiry be made of a credit reporting bureau? ------CORRECT ANSWER---------------When the customer signs a credit application Under the truth in lending act, the following must be disclosed to the customer: ------CORRECT ANSWER----------------total number of payments
- late payment penalty
- annual percentage rate When discussing a customers loan application, the following cannot be asked: ------CORRECT ANSWER---------------"Are you married?"
The federal trade commission used car rule which sets out the warranty provisions of a sale is known as: ------CORRECT ANSWER---------------The buyers guide window sticker rule When should the buyers guide be placed on a vehicle: ------CORRECT ANSWER---------------Before it is offered for sale A buyers guide must be placed on: ------CORRECT ANSWER---------------- demonstrators available for sale
- used trucks under 16,000 lbs GVW
- consignment vehicles Where should the buyers guide be placed? ------CORRECT ANSWER------- --------Attached to the vehicle in a conspicuous place so both sides can be seen What does the federal trade commission used car rule say about dealers offering vehicles for sale at public auctions? ------CORRECT ANSWER------ ---------A guide must be on the vehicle if the auction is open to the public Under the federal trade commission used car rule, a vehicle can be sold "as is": ------CORRECT ANSWER---------------And the service contract box in the buyers guide checked
Under the federal trade concision used car rule, the terms of the warranty as stated on the buyers guide: ------CORRECT ANSWER---------------Can be changes and noted in the original guide or on a new guide When giving a warranty on a used vehicle the dealer must: ------CORRECT ANSWER----------------give the customer a copy of the buyers guide window sticker
- give the customer a warranty document containing certain specific phrases Which of the following must be included on the buyers guide? ------ CORRECT ANSWER---------------Vehicle body style For dealer arranged financing, if the retail installment contract is not approved and the deal is cancelled you must ------CORRECT ANSWER----- ----------Return the customer trade in The reverse of the buyers guide must be signed by the customer and the dealership ------CORRECT ANSWER---------------In every retail sale of a used vehicle The reverse of the buyers guide must be signed ------CORRECT ANSWER- --------------In every retail sale of a used vehicle An "A" after the odometer reading on a title indicates ------CORRECT ANSWER---------------Actual miles driven
The term "mileage" as used in the truth in mileage act means: ------ CORRECT ANSWER---------------The actual distance the vehicle has been driven An "E" after the odometer reading on a title means: ------CORRECT ANSWER---------------Mileage in excess of the odometers mechanical limits. True/false- The truth in mileage act requires that both the buyer and seller must sign and print their name to the odometer statement ------CORRECT ANSWER---------------True True/false- the customer must receive a copy of the odometer statement --- ---CORRECT ANSWER---------------True True/false- an "n" after the odometer reading on the title means the odometer reading is not actual ------CORRECT ANSWER---------------True In connection with the transfer of ownership of a leased motor vehicle, the truth in mileage act requires the lessor to provide the lessee with a written statement regarding the mileage of the vehicle. Some of the info required is: ------CORRECT ANSWER----------------the name of the person making the disclosure and the current odometer reading
- the date of the statement and lessee's and lessor's name and current address
- the identity of the vehicle including the make, model, year, body type, and vehicle identification number
A salesperson may use a dealer plate if he or she ------CORRECT ANSWER---------------Works at least 25 hours each week on a regular basis and is compensated for this work Dealer license plates may be: ------CORRECT ANSWER---------------Used on vehicles in the inventory of the dealer. A dealer may allow the prospective purchasers to use the license plates assigned to the dealer for: ------CORRECT ANSWER---------------Up to 5 days and may be renewed once After the proper forms are completed, dealer plates may be used on a vehicle in a dealers inventory ------CORRECT ANSWER----------------by a prospective purchaser
- by a customer whose vehicle is in the dealers shop for repairs The form granting permission to use dealer plates ------CORRECT ANSWER---------------May be issued for a five day period and reissued for one additional five day period When may you use your dealer plates in consignment vehicles? ------ CORRECT ANSWER---------------If the vehicle is on consignment from another dealer The dealer may authorize a person, other than a full time employee, to transport a vehicle on a dealer plate to and from a point of sale, an auction,
and a repair facility or dealer exchange for a period not to exceed ------ CORRECT ANSWER---------------24 hours A vehicle identification number (vin) is comprised of 17 alpha numeric character. Which character identifies the model year? ------CORRECT ANSWER---------------10th If a vehicle is to be titled out of state, temporary tags are issued and the purchaser does not have the required liability insurance, the dealer ------ CORRECT ANSWER---------------Must collect 1/12 of the uninsured motorist fee and submit to DMV On the buyers order, the line item "balance due at settlement" is used ------ CORRECT ANSWER---------------With both cash and finance transactions In general, a completed buyers order is legally binding when ------ CORRECT ANSWER---------------Both parties agree on a price and sign the buyers order In order for a dealer to occasionally rent a vehicle without a rental license -- ----CORRECT ANSWER---------------The dealer cannot rent a vehicle without a rental license issued by dmv A dealer makes a good will substitution for a vehicle previously delivered and titled to a customer. The sales and use tax refund process is ------ CORRECT ANSWER---------------The tax is not refundable
how do you renew your license? ------CORRECT ANSWER---------------Your employer renews the license and pays the fee. There is no written text for renewals how do you get a duplicate salesperson license? ------CORRECT ANSWER---------------Employer completes the application for your lost/destroyed licenses what happens when you change dealerships? ------CORRECT ANSWER--- ------------during your licensed period you give your license o the former employer and complete a new application at the new place of employment What do you do when you terminate emplyment? ------CORRECT ANSWER---------------when you terminate employment you give your license to your employer before leaving what is a lapsed license? ------CORRECT ANSWER---------------when your WI license expired more than 5 years ago. you will need to retake the written test. fee and application is the same as first time applicants what happens if there's a criminal conviction? ------CORRECT ANSWER---- -----------under most circumstances you may be licensed even if you are convicted of a crime. the dealer/agent will investigate before approving or denying your license. What do you do if you were Denied? ------CORRECT ANSWER--------------- if your application on a motor vehicle salesperson license is declined you
may appeal to the division of hearing and appeals. if your application is denied you'll receive a denial letter which contains reasons why and instructions on how to get an appeal What is a Dealership group? ------CORRECT ANSWER---------------A dealership group is 2 or more dealerships with the same majority owner. What arent you allowed to do when Advertising? ------CORRECT ANSWER---------------Using False, deceptive or misleading advertising or representations to induce the purchaser of a motor vehicle is an unfair proactive and is prohibited what must you advertise for vehicle prices? ------CORRECT ANSWER------- --------Ad price must include all charges except the sales, title and registration fee. post advertised prices on the vehicle. Do NOT use phrases like "write your own deal" or "name your own price" because they mislead customers What is the new vehicle discount? ------CORRECT ANSWER--------------- you may only advertise new vehicles using terms such as "invoice" or "cost" when you disclose what the actual dealer cost is or may be less than due to factory hold back, rebates, incentives or other discounts "Free" Merchandise ------CORRECT ANSWER---------------Do not use the word "free" in advertising if the customer needs to purchase something to receive the "free" merchandise
Manufacturers suggested retail price (MSRP) ------CORRECT ANSWER---- -----------this federally required label must remain in the window as a new vehicle until it is delivered to its retail purchaser. this label contains information about standard equipment, options, base price, transport, final assembly point and receiving dealer. Label NOT required for trucks Dealer supplemental price label ------CORRECT ANSWER---------------this label lists optional equipment or accessories installed by the dealer,final price and any price changes.label must remain in window until delivered to customer Pre-Delivery inspection test ------CORRECT ANSWER---------------This is a report on a new vehicle required by the manufacturer. Give the customer it upon delivery of the vehicle Emission standards certificate ------CORRECT ANSWER--------------- Certificate that confirms the vehicle has been installed and inspected. it also gives information on what to do if system fails. give to the customer at delivery damage disclosure statement ------CORRECT ANSWER---------------this is a written disclosure that must be given to a customer if any damage of more than 6 percent of the MSRP (manufacturers suggested retail price). glass/tires/bumpers are not counted when its identical to the original equipment. Any uncorrected damage must be disclosed to the customer before delivery
model year disclosure ------CORRECT ANSWER---------------Original model year needs to be represented. only exception is vehicles manufactured by a second stage manufacturer Wisconsin Buyers Guide ------CORRECT ANSWER---------------the vehicle must be inspected for safety and defects. the results get shown on buyers guide that is located on the window of the vehicle Display the Wisconsin Buyers Guide on everything except ------CORRECT ANSWER----------------trucks over 16000 pounds
- Demonstrator/executive driven vehicles still in use
- vehicles not inspected for sale
- unrepaired salvage
- vehicles sold to the lessee at the end of their lease Wisconsin buyers guide includes ------CORRECT ANSWER---------------- vehicle prior use
- title brands
- warranties offered
- odometer reading when acquired
- price Reasonable care standard ------CORRECT ANSWER--------------- Dealerships are required to test drive and inspect internal and external of vehicle including under the hood and under the vehicle. not required to take vehicle apart (except for the breaks) unless it is needed to diagnose symptoms
when it impossible to reset reading on repaired or replaced odometers, what do you do? ------CORRECT ANSWER---------------set the "Zero" place sticker on the left door frame to specify mileage before malfunction with a "not actual mileage" sticker Test Drives ------CORRECT ANSWER---------------before any test drive,ask to see the drivers license when is a contract required ------CORRECT ANSWER---------------when closing a sale, when accepting down payment deposits or title for trade in. if the contract is not approved in 2 days it gets voided out and all payments/titles are returned contract requirements ------CORRECT ANSWER---------------1. name and address of dealer and customer
- salespersons full name and 8 digits of the sales license 3.year make model and vin of all vehicles in the conract
- chassis and finished yearof the model if they arent identical
- warranties
- price at delivery and components of that price
- list of parts added or removed
- penalty for customer for not accepting vehicle on delivery "as is" vehicles ------CORRECT ANSWER---------------"as-is" sales are legal. "as-is" must be clearly identified on the purchase contract since dealership is not providing any warranty protection for customer price protection ------CORRECT ANSWER---------------certain conditions allow for price adjustments. manufacturers dont have consistent practices
on price protection. it is important to know each manufacturer price policies. price protection contract must be complete in order to adjust the price contract price increases ------CORRECT ANSWER---------------prices can be adjusted for 1.foreign vehicles (revaluation of us dollar by us government)
- Tax increase on vehicles --- Raising price after contract is signed for anything else is called "bushing" and is illegal trade in reappraisal ------CORRECT ANSWER---------------the value of a trade in may be reappraised only if the trade in vehicle has been damaged. if the parts have been removed or if the mileage exceeds limits specified on purchase contract off sales premise sales ------CORRECT ANSWER---------------when a vehicle purchase contract is offered and accepted away fro dealers licensed place of business the customer is allowed three days to rethink the purchase. the customer can cancel the contract during the "cooling off" period.give the customer two copies of notice of this right when purchase is signed sales to minors ------CORRECT ANSWER---------------contracts signed to minors are not binding and my be cancelled. the minors parents/guardians must provide a notarized signature in "consent to purchase" for a title and registration cancelling a contract ------CORRECT ANSWER---------------when delivery cant be made within fifteen days after the anticipated delivery day on the contract the customer may cancel without penlty
