TEST $04$

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$3$

Overextended Debtor. Dennis purchased a big$-$screen television from ABC Electronics $($ABC$)$ and financed the purchase through ABC based on an agreement granting the retailer a security interest in the television and requiring that Dennis make monthly payments. Three $(3)$ months later, Dennis was unable to continue making payments on the television because he had purchased a boat, a new car, an expensive engagement ring for his girlfriend, and some other items. The ABC store manager called Dennis and asked him to return the television. Dennis refused on the basis that ABC never perfected its interest in the television. Which of the following is the correct designation for the television in the agreement between Dennis and ABC $?$

$00$:$26$:$38$

Multiple Choice

It is a pledged good.

It is an acknowledged good.

It is collateral.

It is a designated security