Auctioneer Practice Exam

How is personal property best defined?

1. Fixed assets and land

2. Tangible and movable items

3. Anything owned by a company

4. Intangible assets like stocks

The correct answer is: Tangible and movable items

Personal property is best defined as tangible and movable items. This definition encompasses physical possessions that individuals or entities own and can move from one place to another. Examples of personal property include furniture, vehicles, electronics, and collectibles. These items differ from real property, which consists of fixed assets such as land and buildings. The other options do not accurately reflect the full scope of personal property. Fixed assets and land are classified as real property, not personal. The phrase "anything owned by a company" is too broad, as it could refer to both real property and personal property, including intangible assets as well. Lastly, intangible assets like stocks fall outside the realm of personal property, as they represent ownership in a company rather than physical, movable possessions. Therefore, the definition that captures the essence of personal property is indeed the one that highlights it as tangible and movable items.