The preference given to a purchase money security interest prevents a single creditor from closing off all other sources of credit to a particular debtor and thus possibly preventing the debtor from obtaining additional inventory or equipment needed to maintain its business.
Correct Answer:
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Q1: According to Article 9 of the Uniform
Q2: In terms of the classifications of collateral
Q4: Documents of title include:
A) stock and bonds.
B)
Q5: An interest in fixtures that a creditor
Q6: Under the Uniform Commercial Code, a fixture
Q7: The attachment of a security interest takes
Q8: A financing statement is effective for a
Q9: As a general rule, an oral security
Q10: Change of possession is a common and
Q11: A purchase money security interest in noninventory
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