Which method of controlling pledged inventory provides the greatest degree of security to the lender?
A) blanket inventory liens
B) overall inventory liens
C) trust receipts
D) warehousing

Question

Quizplus · Accepted Answer

Warehousing provides the greatest degree of security to the lender because the inventory is stored in a third-party warehouse, ensuring that the lender has control over the inventory and reducing the risk of misappropriation by the borrower.

Which Method of Controlling Pledged Inventory Provides the Greatest Degree