Question $24(0\mathrm{.}5$ points$)$

Lending Bank files a financing statement regarding a transaction with Metro Company. To be valid, the financing statement must contain all of the following except

Question $24$ options:

a$)$

Metro's name.

b$)$

Lending's name.

c$)$

a description of the collateral.

d$)$

a statement of the purpose for the transaction.

Question $25(0\mathrm{.}5$ points$)$

When a security interest is perfected, it has priority over any other perfected security interests.

Question $25$ options:

True

False

Question $26(0\mathrm{.}5$ points$)$

Debts that remain after a liquidation are not discharged, and the debtor retains his or her obligation to pay them.

Question $26$ options:

True

False

Question $27(0\mathrm{.}5$ points$)$

In a Chapter $7$ bankruptcy, on a finding that the use of Chapter $7$ would constitute substantial abuse, the court is most likely to

Question $27$ options:

a$)$

force a creditor to obtain a new judgment on a claimed debt.

b$)$

allow a creditor to collect a previous judgment on a disputed debt.

c$)$

dismiss the debtor's petition.

d$)$

extend the time for the debtor's payment of overdue debts.

Question $28(0\mathrm{.}5$ points$)$

To create an enforceable security interest between Mortgage Bank and Nations Property Company with a written security agreement, the agreement must be signed by

Question $28$ options:

a$)$

the debtor.

b$)$

all of the choices.

c$)$

the creditor.

d$)$

a disinterested third$-$party witness.

Question $29(0\mathrm{.}5$ points$)$

Providing only a debtor's trade name in a financing statement is sufficient for perfection even if the trade name is not the legal name of the business.

Question $29$ options:

True

False

Question $30(0\mathrm{.}5$ points$)$

In addition to financial statements, each voluntary petition in bankruptcy must include

Question $30$ options:

a$)$

a plan outlining how debt payments will be made.

b$)$

a certificate proving the receipt of credit counseling.

c$)$

a statement of preference for one creditor over another.

d$)$

a creditors' agreement allowing the debtor to continue in business.

Question $31(0\mathrm{.}5$ points$)$

Bayou Financial Corporation holds a security interest in property owned by Cajun Farms. Perfection of this security interest may not protect Bayou against the claim of

Question $31$ options:

a$)$

a buyer in the ordinary course of business.

b$)$

a subsequent lien creditor.

c$)$

a trustee in bankruptcy.

d$)$

a bank.

Question $32(0\mathrm{.}5$ points$)$

Every interest in personal property that guarantees the payment or performance of an obligation is a security interest.

Question $32$ options:

True

False

Question $33(0\mathrm{.}5$ points$)$

Loan Company has a security interest against Manufacturing Inc. that is enforceable. In other words, with respect to the collateral, Loan's rights are said to

Question $33$ options:

a$)$

attach.

b$)$

process.

c$)$

perfect.

d$)$

ensure.

Question $34(0\mathrm{.}5$ points$)$

Because a writ of attachment is a prejudgment remedy, a debtor does not need to be given notice and an opportunity to be heard before the property is seized.

Question $34$ options:

True

False

Question $35(0\mathrm{.}5$ points$)$

Under Chapter $7,$ a debtor who fails to appear at the creditors' meeting when required may be

Question $35$ options:

a$)$

denied a discharge of his or debts in the bankruptcy proceeding.

b$)$

forced to submit to an examination by the creditors.

c$)$

ordered to complete a means test.

d$)$

told to turn over control of his or her property to a bankruptcy trustee.

Question $36(0\mathrm{.}5$ points$)$

Reese applies for a credit card at Sell$-$Mart. The application gives Sell$-$Mart a security interest in any goods that Reese buys with the card until she pays for them in full. In this situation, the secured party is

Question $36$ options:

a$)$

Sell$-$Mart.

b$)$

the goods that are bought with the credit card.

c$)$

Reese.

d$)$

the credit card.

Question $37(0\mathrm{.}5$ points$)$

Under Chapter $13,$ a plan may provide for the payment of all of the debtor's obligations in full.

Question $37$ options:

True

False

Question $38(0\mathrm{.}5$ points$)$

In a Chapter $7$ proceeding, the bankruptcy trustee collects the debtor's estate and reduces it to cash, preserving the interests of the debtor and creditors.

Question $38$ options:

True

False

Question $39(0\mathrm{.}5$ points$)$

A Chapter $13$ proceeding is more expensive and complicated than a Chapter $11$ or Chapter $7$ proceeding.

Question $39$ options:

True

False

Question $40(0\mathrm{.}5$ points$)$

Under Chapter $7,$ creditors are paid in a certain order of priority. The highest$-$priority class comprises claims for

Question $40$ options:

a$)$

domestic support.

b$)$

debts related to motor vehicles, household goods, and trade tools.

c$)$

the debtor's equity in his or her residence.

d$)$

student loans.