Should a Business Fail After Receiving Shipping Documents from Its

Multiple Choice

Should a business fail after receiving shipping documents from its bank on the basis of a trust receipt, the bank

A) becomes a preferred creditor to the extent of the amount due less cash deposits with the bank.
B) repossesses the merchandise on the basis of a specific lien thereon.
C) repossesses the merchandise on the basis of its holding of title to the merchandise.
D) has a prior claim relative to other general creditors.