Joan Borrows Money from Jake Under a Security Agreement

question 21

Multiple Choice

Joan borrows money from Jake under a security agreement. After borrowing the money, Joan buys a new kayak. The kayak is considered

• A) a floating lien.
• B) after-acquired property.
• C) a future advance.
• D) proceeds.

---

Definitions:

Radioactive Decay

The process by which an unstable atomic nucleus loses energy by emitting radiation, leading to a change in the number and/or arrangement of its protons and neutrons.

Conduction

The direct transfer of heat or electricity through a substance when there is a temperature or electrical potential difference.

Thermal Energy

The internal energy present in a system due to the motion of its atoms or molecules, often perceived as heat.

Felsic Magma

Magma that is high in silica and light in color, typically associated with explosive volcanic eruptions.