First Finance Company Filed Its Financing Statement for a Purchase

question 2

True/False

First Finance Company filed its financing statement for a purchase money security interest in Donald's lawn tractor on March 1. Donald purchased the lawn tractor on February 21. If Donald files for bankruptcy on February 28, the trustee will have priority because the bankruptcy petition is filed before the creditor perfects.

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Definitions:

Electrocauterization

The use of a needle, probe, or loop heated by electric current to remove growths such as warts, to stop bleeding, and to control nosebleeds that either will not subside or continually recur.

Grounding Pad

A safety device used during surgical procedures to prevent burn injuries by dispersing excess electrical current away from the patient.

Freezing Cycle

A process involving the lowering of temperature to below 0°C, used in various contexts such as food preservation or climate patterns.

Proliferation Phase

The second phase of wound healing, in which new tissue forms, closing off the wound.