Question

Show-Me Display Company, a creditor, agrees to sell display cases to Total Retail, Inc. (TRI). TRI agrees to make monthly payments on the cases, which serves as collateral for the debt until the balance is paid. To protect its claim in the collateral, Show-Me should
a. personally contact TRI's other creditors.
b. file a financing statement with the appropriate state or local official.
c. send notice by mail to TRI's potential customers.
d. station a Show-Me employee on TRI's premises.

Answer

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