Colorado Car Sales Practice Test 2025 - Free Car Sales Practice Questions and Study Guide

Question: 1 / 400

What is typically included in a dealer's disclosure of fees?

Only the sales tax amount

All additional fees associated with the purchase

A dealer's disclosure of fees typically includes all additional fees associated with the purchase. This encompasses a wide range of costs that a buyer may incur beyond the vehicle's sale price, such as documentation fees, processing fees, destination charges, and any required government fees like registration and title fees. Transparency in disclosing these costs is essential, as it allows the buyer to understand the full financial obligation they are undertaking when purchasing a vehicle.

Including only specific fees, such as just the sales tax or the dealer's profit margin, would not provide a complete picture of the total cost. Similarly, maintenance costs associated with financing are generally not included in the dealer's fees and would be considered separate expenses that may arise after the purchase rather than during the transaction. Thus, the comprehensive nature of the complete list of additional fees included in the disclosure is what makes this answer correct.

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Only the dealer's profit margin

Maintenance costs associated with financing

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