Dealer demo plates may be used on motor vehicles that are?

Prepare for the Colorado Sales License Test. Study with flashcards and multiple choice questions, featuring hints and explanations. Ace your exam!

Dealer demo plates are specifically designed for motor vehicles that are properly assigned in the name of the dealership. These plates enable dealerships to demonstrate vehicles to potential buyers while adhering to legal regulations. When a vehicle is assigned to a dealership, it signifies that the dealership owns the vehicle and therefore has the right to use dealer plates for test drives and demonstrations.

Using dealer demo plates ensures that the vehicle is recognized as part of the dealership's inventory and not as a privately-owned vehicle. This arrangement is crucial for liability and insurance purposes as well, as it protects both the dealership and any potential buyers during their test drives.

The other options are not correct in this context. Vehicles for sale may have different licensing or registration requirements, consigned vehicles are often owned by private individuals or other dealers, and home use only vehicles would not qualify for dealer plates, as these are intended for demonstration and promotional purposes.

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