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Use This Fact Situation to Answer the Related Questions That

Question 19

Multiple Choice

Use this fact situation to answer the related questions that follow. A is buying a video business including the inventory of DVDs,which is valued at half the worth of the business,but A only has half the purchase price,so B agrees to help A out.
In this case,to help A buy the business,B will


A) take back a floating charge over the inventory.
B) take a chattel lease over the inventory for the balance of the purchase price.
C) take back a mortgage/charge on the inventory.
D) take back a chattel mortgage on the inventory.
E) none of the above

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