1. Which one of the following transactions is not governed by Article 2 of the UCC?
(a) Purchasing an automobile for $35,000
(b) Leasing an automobile worth $35,000
(c) Purchasing a stereo worth $501
(d) Purchasing a stereo worth $499
2. Under the UCC Statute of Frauds, a contract must be signed by the ________________ to count as being "in writing”. Also, the _____________ of the goods must be written.
(a) plaintiff; price
(b) plaintiff; quantity
(c) defendant; price
(d) defendant; quantity
3. Assume that a contract is modified. New consideration must be present for the modification to be binding if the deal is governed by:
(a) The common law
(b) The UCC
(c) Both A and B
(d) Neither A nor B
4. Under the UCC Secured Transactions Article, which of the following actions will best perfect a security interest in a negotiable instrument against any other party?
(a) Filing a security agreement
(b) Taking possession of the instrument
(c) Perfecting by attachment
(d) Obtaining a duly executed financing statement
5. Under the UCC Secured Transactions Article, perfection of a security interest by a creditor provides added protection against other parties in the event the debtor does not pay its debts. Which of the following parties is not affected by perfection of a security interest?
(a) Other prospective creditors of the debtor
(b) The trustee in a bankruptcy case
(c) A buyer in ordinary course of business
(d) A subsequent personal injury judgment creditor
6. When Michelle buys a laptop, she pays an extra fee so that the computer arrives at her door with the latest version of Microsoft Word pre-installed. Under Article 9, the word processing program is considered:
(a) "goods"
(b) "services"
(c) "software"
(d) none of the above
7. Alpha perfects its security interest by properly filing a financing statement on January 1, 2010. Alpha files a continuation statement on September 1, 2014. It files another continuation statement on September 1, 2018. When will Alpha's financing statement expire?
(a) January 1, 2015
(b) September 1, 2019
(c) September 1, 2023
(d) Never