General Business Operations Flashcards
7 cards from real CAR practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.
Read the first 7 General Business Operations flashcards as text
Which document is most critical when purchasing a vehicle for dismantling to ensure the recycler legally acquires ownership?
Answer: Certificate of title
A certificate of title is the legal proof of ownership required to lawfully acquire and dismantle a vehicle.
Under federal law, which agency oversees the National Motor Vehicle Title Information System (NMVTIS) that auto recyclers must report to?
Answer: DOJ
NMVTIS is administered by the U.S. Department of Justice (DOJ) to prevent title fraud and track vehicle histories.
An automotive recycler receives a vehicle with a salvage title. What must the recycler report to NMVTIS?
Answer: VIN, acquisition date, and disposition status
NMVTIS requires recyclers to report the VIN, date of acquisition, and the vehicle's disposition within the required timeframe.
What is the typical purpose of a 'core charge' in the automotive recycling parts business?
Answer: A refundable deposit to encourage return of rebuildable parts
A core charge is a refundable deposit that incentivizes customers to return worn or rebuildable parts for remanufacturing.
Which of the following best describes a 'green' or 'OEM-equivalent' grade for a recycled part?
Answer: An original manufacturer part removed from a low-mileage vehicle in good condition
OEM-equivalent or 'green' grade parts are original factory parts pulled from vehicles in good, usable condition.
Which business practice best reduces shrinkage and inventory discrepancies at an auto recycling yard?
Answer: Implementing a perpetual inventory management system with barcodes or RFID
A perpetual inventory system with tracking technology provides real-time accuracy and reduces losses from theft or misplacement.
When an auto recycler sells a part online through a national locator network, which step is essential before confirming the sale?
Answer: Verify the part is physically in inventory and graded accurately
Confirming physical availability and accurate grading prevents chargebacks, disputes, and damage to business reputation.