Alice Buys a Home Theater System from Blastaphonic Audio and Video,paying

question 45

Multiple Choice

Alice buys a home theater system from Blastaphonic Audio and Video,paying cash.Alice was aware that Fourth National Bank had a perfected security interest in all the inventory of Blastaphonic.Which of the following statements is true?

• A) The home theater system is not subject to a security interest once Alice purchases it.
• B) The home theater system remains subject to the security interest of Fourth National Bank because Alice had actual knowledge of the security interest.
• C) The home theater system is not subject to a security interest once Alice purchases it so long as the remaining inventory of Blastaphonic is adequate to secure the amount of the indebtedness.
• D) The home theater system remains subject to the security interest of Fourth National Bank,and this would be true even if Alice was not aware of Fourth National Bank's security interest.

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Definitions:

Suprachiasmatic Nucleus

A small region in the brain's hypothalamus responsible for controlling circadian rhythms, which are the body’s natural sleep and wake cycles.

Brain

The organ located in the head of an animal that coordinates its behavior, processes sensory information, and is the center of intelligence and emotion.

Physical and Mental Health

The overall state of a person's body and mind, including the absence of illness and the presence of well-being.

Work Time

The period designated for performing job-related tasks or activities.