Colorado Sales License Practice Test 2026 – Your All-in-One Guide to Passing the Exam!

Question: 1 / 400

A dealer's advertisement must contain which of the following?

The dealer's licensed name and the word "Dealer"

The correct answer highlights the requirement for a dealer's advertisement to include the dealer's licensed name along with the word "Dealer." This is a crucial component because it ensures transparency and accountability in the automotive sales market. By including the licensed name, potential customers can verify the legitimacy of the dealer. The mandate to have the term "Dealer" clarifies the nature of the business, distinguishing it as one that is actively engaged in the sale of vehicles, which can help prevent consumer confusion.

This requirement aligns with state regulations designed to protect consumers and foster trust within the marketplace. Consumers should be able to easily identify the entities they are dealing with to ensure they are engaging with a duly licensed and legitimate dealer, thereby reinforcing fair business practices in the industry.

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