Which of the Following Is True About Possession of Collateral

question 2

Multiple Choice

Which of the following is true about possession of collateral by the secured party as public notice?

• A)Change of possession is a convenient way for perfecting most security interests in consumer goods.
• B)Possession of collateral by the creditor is rarely executed to perfect a security interest in chattel paper and negotiable documents of title.
• C)Possession is a possible way of perfecting a security interest in inventory which is achieved through a field warehousing arrangement.
• D)Possession by the creditor is a practicable way of perfecting a security interest in equipment or farm products.

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Definitions:

Verbal Information

Verbal information involves data or knowledge communicated using words, either spoken or written, as opposed to non-verbal forms of communication.

Context Cues

Elements within the environment that provide guidance or clues for understanding situations, meanings, or behaviors.

Retention

The ability to maintain possession of information or material over time, especially in the context of learning and memory.

Priming

A psychological phenomenon where exposure to one stimulus influences the response to a subsequent stimulus, without conscious guidance.