Section 2: 15–25%R6

Debtor-Creditor Relationships and Secured Transactions

Exam insight

UCC Article 9 priority and the PMSI super-priority rules are some of the most testable mechanical topics on REG. Suretyship rights and defenses round out a unit where small details, attachment vs. perfection, the 20-day grace, decide the answer.

What AICPA wants you to know

1Distinguish a surety from a guarantor and list the surety's rights
2State the surety's defenses and which ones are unavailable
3Apply the three requirements for attachment of a security interest
4Apply the methods of perfection and the general first-to-file-or-perfect priority rule
5Apply the PMSI super-priority rules for consumer goods, inventory, and equipment
6Describe creditor remedies on default and the rules on liens and fraudulent conveyances

Patterns in this topic

The exam re-skins the same archetypes. Recognize these here, then drill them in the Pattern Lab.

The Secured PriorityAttachment makes the security interest enforceable; perfection makes it win, and a PMSI can jump the line.

Exam tip

Study smarter: before you expand each card, cover the screen and try to recall what the concept means from its title alone. Retrieving it from memory builds the recall the exam actually tests, and it beats re-reading.