Document that creditors file to protect security interest

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Reference no: EM132230796

1. A credit sales transaction in which the seller is unsecured is often called a sale on __________.

A) Approval

B) Open account

C) Open credit

D) Both b and c

2. Which of the following would be considered a fixture under Article 9?

A) A personal computer

B) The bricks that are part of a house foundation

C) An installed heating and air condition unit.

D) All of the above are fixtures.

3. The document that creditors file to protect a security interest is known as a _______.

A) Title.

B) Debtor Creditor agreement.

C) Financing statement.

D) Lien.

4. A _________ takes free of a security interest created by his seller, even though the security interest is perfected and the buyer knows of its existence.

A) Reasonably prudent consumer.

B) Buyer in the ordinary course of business.

C) Fair market value buyer.

D) Holder in due course.

5. At the time of _______ a security interest comes into creation and is enforceable against the debtor and third parties.

A) Initiation.

B) Attachment.

C) Filing.

D) Execution.

Reference no: EM132230796

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