Sam Furber purchased a home in 2007 for $636,000, giving a mortgage to CNN Mortgage Co for $500,000. After moving in, Sam had a built-in dining cabinet and bookshelves installed. He financed the shelving with Libraries, Inc, a total of $22,000. Libraries filed a financing statement on the security interest in the shelving on March 18, 2008. The shelving and cabinet are attached to the walls of
the home. In 2009, Sam had a home theater installed by Living Entertainment. Living Entertainment financed the installation, a total of $41,000, through a security interest and filed a financing statement on September 9, 2009. The home theater includes an in-wall screen as well as projection equipment suspended from the ceiling and 12 recliner chairs. Sam lost his job and has defaulted on his mortgage payment. CNN is foreclosing on Sam's home. ?What would happen if Living Entertainment filed its financing statement centrally?
A) It would be invalid
B) Living Entertainment would be perfected and secured on the chairs and the equipment
C) Living Entertainment would have filed correctly and would be protected for the full amount financed
D)None of the above
B
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