Colorado Sales License Practice Test

Question: 1 / 400

Which of the following does not fit the definition of a motor vehicle dealer?

Someone who sells vehicles to consumers

Someone who sells vehicles to wholesalers

A motor vehicle dealer is typically defined as a person or business that is in the business of selling vehicles to consumers, either directly or indirectly. This includes entities that sell both new and used vehicles.

Selling vehicles to wholesalers is a different operation that generally falls outside the typical definition of a motor vehicle dealer focusing on retail sales. Wholesalers are intermediaries that purchase vehicles in bulk for resale to other dealers or businesses, rather than selling directly to the end consumer.

In contrast, selling vehicles to consumers, selling vehicles at auctions, and selling vehicles online all involve direct sales to consumers or a process related to retail sales. Each of these activities is part of the broader motor vehicle sales ecosystem, as they ultimately aim at facilitating a sale to end users or buyers looking for personal use.

Thus, the option that does not fit the definition of a motor vehicle dealer is the one that refers to the sale of vehicles to wholesalers, as it does not align with the direct consumer sales characteristic that defines a typical motor vehicle dealer.

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Someone who sells vehicles at auctions

Someone who sells vehicles online

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