Does the tractor become collateral

Assignment Help Business Management

Reference no: EM134045044

Question

To fund its operations, Monty School borrows $100,000 from Tubman Bank, agreeing to put up as collateral Monty School's "equipment that it has been using in its operations." A few months later, Monty School receives a gift of a tractor. Does the tractor become collateral? (A) No, because it was not equipment at the time of the agreement, and the description was limited to equipment already in use then. (B) Yes, because it is equipment. (C) Yes, because all property of a debtor is collateral. (D) No, because the tractor was not purchased with the loan money.

Reference no: EM134045044

Questions Cloud

Discuss about quality and quality management : In this final assignment, you will be asked to synthesize everything you have learned about quality and quality management.

Identify a policy relates to grand challenges of social work : Identify a policy that relates to the Grand Challenges of Social Work, and discuss the following: What does this policy propose?

Part-time job cutting lumber : A contractor employs Jonathan, a high school sophomore, at a part-time job cutting lumber, even though he knows the law does not permit him to work

Concept of metaphor organizations as psychic prisons : An explanation of the concept of Metaphor "Organizations as psychic prisons." as explored in Gareth Morgan's book "Images of Organization".

Does the tractor become collateral : A few months later, Monty School receives a gift of a tractor. Does the tractor become collateral?

Technological innovations are neither good or bad : At their core technological innovations are neither "good" or "bad". They enable users to accomplish tasks they would otherwise not be able to do (efficiently).

Determine the feasibility of establishing facilities : Determine the feasibility of establishing facilities of the identified targeted underinsured/uninsured homeless population areas.

Extended the same level of service : Two consumers ask if there are any investment brochures available. She was discriminated against, simply because she was not extended the same level of service.

Describe four skills in engaging others in change process : Briefly describe the four skills in engaging others in the change process. using any of the two skills in the change process and other skills learned

User Account

All Pages