Which of the following is true regarding dealer demo plates?

Dealer demo plates are specifically designed for use on vehicles that are being demonstrated for potential sale. It is important to understand that these plates are primarily intended for display on vehicles that are owned by the dealership and are being used for marketing purposes, such as customer test drives.

While dealer demo plates can be utilized on a range of vehicles for specific purposes, they are not permitted for display during test drives. This restriction ensures that the plates are exclusively linked to dealership-owned inventory intended for customer evaluation or promotional events and are not misused on vehicles that may not fall under that category.

Other answers relate to the characteristics and usage of dealer demo plates under specific conditions. For instance, while demo plates can sometimes be used for business deliveries, they have restrictions related to which vehicles they can be displayed on and typically have an expiration period that must be observed to ensure compliance with regulations. Understanding these regulations helps keep dealership operations compliant and ensures that demo plates are used appropriately.