A dealer sells goods on credit to a buyer who uses the goods as equipment.The dealer keeps a purchase money security interest in the goods.The dealer then borrows against the security agreement of the buyer along with the dealer's security interest in the collateral.The collateral provided by the dealer to his lender in this type of transaction is:

Question

Quizplus · Accepted Answer

The collateral provided by the dealer to his lender in this type of transaction is chattel paper, which represents a security interest in goods that are utilised or held for lease or bailment.

A Dealer Sells Goods on Credit to a Buyer Who