When a Business Lends Another Business Money, It Should Perfect

question 418

Multiple Choice

When a business lends another business money, it should perfect its security interest by:

• A) applying to the IRS for security
• B) filing its financing statement with the state secretary of state
• C) preparing its inventory for satisfaction
• D) obtaining a late-term guarantor
• E) none of the other choices

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Definitions:

Social Exchange

Social exchange is a theory in social science that explains how human relationships are formed and maintained based on an exchange process aiming at maximizing benefits and minimizing costs.

Symbolic Interaction

A sociological theory focusing on the importance of language and symbols in human interaction and the development of self.

Parental Inheritance

The passing down of genetic traits, characteristics, or property from parents to their offspring.

Social Conflict

An alternative term for conflict theory; it emphasizes the struggles between groups in society over inequalities, power, and resources.