Practice question

When does the law allow, under certain conditions, for the dealer to adjust the contracted purchase price of an order-out new vehicle?

  1. When the manufacturer's price changes
  2. When the dealership changes management
  3. When the purchaser files a complaint
  4. When the vehicle's color changes

Answer: A — When the manufacturer's price changes

The option B, C, and D are incorrect because none of them mentioned anything about changes in price. Only option A, which talks about changes in the manufacturer's price, is the correct answer. Generally, dealers are not allowed to adjust the contracted purchase price of an order-out new vehicle, but if the manufacturer changes their price, then only in certain conditions, the dealer may adjust the price. This is because the dealer has no control over the manufacturer's price. Options B, C, and D are irrelevant and do not address the key factor of price changes by the manufacturer. Hence, they are not the correct answers.

Practice more: Wisconsin Motor Vehicle Salesperson Manual Practice Test →