Which One of the Following Statements Concerning Inventory Loans Is

Which one of the following statements concerning inventory loans is correct?

A) A firm is required to hold inventory in a separate warehouse, which they are required to own under a warehouse financing arrangement.
B) Financing for a large quantity of common items, such as small kitchen appliances, is often arranged under a trust receipt agreement with a financial institution.
C) Financing for large ticket items, such as farm tractors, is generally done under a warehouse financing arrangement.
D) Warehouse financing is ideally suited for inventories that improve with age such as whiskey or wine.
E) Commercial paper is normally the preferred method of financing items such as aircraft.