Which of the following is an example of "trade fixtures"?

Prepare for the PSI Property Ownership Exam with flashcards and multiple choice questions. Each question comes with hints and explanations to optimize your study time. Get exam-ready today!

Trade fixtures are items that a tenant installs in a rented space to conduct their business. They are considered personal property, as they are typically installed by a tenant and are necessary for the operation of the business. When a business tenant uses display cases, these cases are integral to the functioning of the business, as they showcase merchandise or products.

Trade fixtures are distinct from real property because, unlike fixtures that are affixed to the property and become part of it, trade fixtures can be removed by the tenant at the end of their lease, provided the removal does not damage the premises. This makes display cases a prime example of trade fixtures, as they are meant to serve the unique needs of the business tenant.

In contrast, the other options represent items that are not classified as trade fixtures. For example, a sink installed in a home is generally considered a permanent fixture and part of the real estate. A garden in someone's backyard is typically regarded as part of the real property and not removable. Similarly, a custom-made bookcase is often considered a fixture attached to the property, unless it was specifically designed for easy removal and does not cause any damage when taken out. This illustrates the specific definition and application of trade fixtures within property ownership and leasing contexts.

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