Dredging, Inc

Multiple Choice

Dredging, Inc., borrows $50,000 from Equity Financing Corporation in a secured transaction using Dredging's equipment as collateral. Dredging then borrows $70,000 from First Choice Lenders, Inc., using the same equipment as collateral. Neither Equity Financing nor First Choice perfects its security interest. Dredging defaults on the loans. The party with priority is

A) Equity Financing, because its interest was the first to attach.
B) First Choice, because Dredging owes it more money.
C) First Choice, because its interest was the second to attach.
D) Equity Financing, because Dredging owes it less money.