Which of the following is true of perfecting security interests?
A) A continuation statement may be filed within a year before the five-year expiration date.
B) A financing statement is effective for a period of one year from the date of filing.
C) Filing a financing statement in the appropriate public office is one of the least used ways of perfecting a security interest.
D) Possession, a possible way of perfecting a security interest in inventory, is sometimes achieved through a field warehousing arrangement.

Question

Quizplus · Accepted Answer

Possession of collateral by the creditor is often the best way to perfect a security interest in chattel paper and negotiable documents of title. Possession is also a possible way of perfecting a security interest in inventory. This is sometimes achieved through a field warehousing arrangement.

Which of the Following Is True of Perfecting Security Interests