Which items fall under the category of investment property?

Investment property is defined under the Uniform Commercial Code (UCC) as a specific type of collateral that includes financial assets that are primarily invested for their potential to generate returns. The correct answer identifies stocks, bonds, and mutual funds as quintessential examples of investment property because they represent securities or financial assets that can appreciate in value and generate income.

Stocks and bonds are well-established forms of investment, where stocks represent an ownership stake in a company, while bonds are debt securities issued by corporations or governments. Mutual funds pool money from multiple investors to purchase a diversified portfolio of stocks or bonds, further supporting the classification of these items as investment property due to their intended use in investment strategies.

Real estate properties, cash deposits, account receivables, and intellectual property rights do not fit the specific category of investment property as described under the UCC. Real estate is often classified separately, cash deposits may be considered cash collateral, account receivables are treated as a different type of asset in terms of secured transactions, and intellectual property rights fall into another distinct category relating to intangible assets. Therefore, the selection of stocks, bonds, and mutual funds as the definition of investment property is accurate and aligns with legal definitions provided in secured transactions.