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Kimberly Borrows $50,000 from a Bank

Question 32

Multiple Choice

Kimberly borrows $50,000 from a bank. She gives the bank a security interest in her ________ inventory. This implies that if Kimberly does not repay the loan in the stipulated period, the bank can claim any assets she purchased after signing the security agreement.


A) floating lien
B) future advance
C) attached
D) after-acquired

Correct Answer:

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