Debtor borrows $150,000 from Bank to buy office space. Debtor and Bank enter into a security agreement granting Bank a security interest in Debtor’s equipment and accounts (present and after-acquired) as collateral. Debtor quickly realizes that she is in the wrong business, which is bleeding money and going under, so she files for bankruptcy. A valuation of all the Debtor’s assets is $150,000 total, with $50,000 of it being equipment and accounts. There are 3 creditors making claims against Debtor: Bank, and two unsecured credit card companies. How much of Bank’s debt will be paid back from the bankruptcy estate as a secured claim?

1. $150,000

2. $50,000

3. Zero

4. None of the above