OMVIC Practice Test

Disable ads (and more) with a membership for a one time $2.99 payment

Dive into the OMVIC Practice Test and test your knowledge on laws, regulations, and ethical practices in the automotive industry. Perfect for aspiring dealers and salespersons to validate their expertise!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

According to the Code of Ethics Regulations, what must dealers do before signing a contract with a customer?

Guarantee the lowest price
Explain the terms of the contract and the customer’s obligations
Offer an additional discount
Provide a gift

The correct answer is: Explain the terms of the contract and the customer’s obligations

Dealers must explain the terms of the contract and the customer's obligations before signing a contract, in accordance with the Code of Ethics Regulations. This option ensures that the customer understands their rights and responsibilities within the contract, and helps to prevent any misunderstandings or potential issues later on. Option A, guaranteeing the lowest price, is not a requirement stated by the Code of Ethics Regulations. Option C, offering an additional discount, is also not mentioned in the regulations and could potentially be seen as a deceptive or unethical sales tactic. Option D, providing a gift, can also be seen as a potential conflict of interest and is not mentioned in the regulations. Therefore, option B is the correct and most ethical choice according to the Code of Ethics Regulations.