Carson Construction

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Carson Construction has a 20-year, secured loan with ABC Bank, which was used to purchase a bulldozer. The bank has not received a loan payment from Carson Construction in 6 months. Given Carson’s failure to repay the loan, what does ABC Bank have the contractual right to do?

Charge a higher interest rate

Convert the note to a bond

Issue a bond to raise capital

Repossess the bulldozer

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