Fact Pattern 20-2 General Leasing Company (GLC) Buys Equipment for Use as Inventory

question 9

Multiple Choice

Fact Pattern 20-2
General Leasing Company (GLC) buys equipment for use as inventory, borrow¬ing $1 million from Helpful Finance Corporation for a security in¬terest in the equipment. The next day, GLC borrows $500,000 from Interstate Bank, also for a security interest in the equipment. GLC defaults on the loans.
-Refer to Fact Pattern 20-2.Suppose that two weeks after GLC takes possession of the equipment,Helpful and Interstate file financing statements,with Interstate filing first.In that circumstance,the party with priority to the equipment is

• A) GLC.
• B) Helpful and Interstate proportionately.
• C) Helpful only.
• D) Interstate only.

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Definitions:

M

In machining and engineering, "M" often refers to a metric specification or the designation for milling operations in G-code programming.

Square Bar

A type of metal or wooden bar with a square cross-section.

Welding Symbol

Symbols used on blueprints and technical drawings to indicate the type, size, and length of welds used in the fabrication of metal parts.

Reference Line

A line on a drawing that serves as a basis or guide, commonly used to reference dimensions or to anchor annotation symbols such as those for welding.