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

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Question: 1 / 400

Under what circumstance is a vehicle sold “as is”?

When the dealer provides a warranty

When defects are disclosed

When no guarantees are made about the condition

A vehicle is sold “as is” primarily when no guarantees or warranties are made regarding its condition. This means that the buyer accepts the vehicle in its current state, including any potential defects or issues, without any assurances from the seller about its functionality or reliability. Such sales typically involve the understanding that the seller will not be liable for any problems that might arise after the purchase.

In the context of vehicle sales, selling “as is” emphasizes the importance of due diligence on the part of the buyer. They should inspect the vehicle thoroughly and possibly obtain a mechanic's evaluation before finalizing the transaction, as they will bear the risk of any repairs needed post-sale.

The scenario where defects are disclosed does not necessarily equate to an "as is" sale, since transparency about issues might imply some level of warranty or responsibility for those issues. Similarly, if a dealer provides a warranty, it explicitly contradicts the notion of an “as is” sale since warranties imply that certain conditions and quality assurances are held by the seller. Lastly, while a buyer's explicit request for an “as is” sale might lead to such an arrangement, it is not the defining characteristic of what constitutes an “as is” sale; rather, it is the absence of guarantees

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When the buyer asks for it explicitly

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