Capital Inc. holds a security interest in Discount Retail Company's inventory. The parties agree that the interest will continue in the collateral even if it is sold, exchanged, or disposed of in some other way. This is

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This is a floating lien, which is a security interest in property that changes in quantity or value over time. It allows the secured party to reach all of the collateral at any time, even if the collateral is sold, exchanged, or disposed of, as long as the collateral is of the same type or category.