when should i choose People and Property are fictional?

Hello

No so there are two options 
Option No. 1.  Check people and property are fictional (if we select this then the Recognizable property Yes, No will disappear we can not select that)

Option no. 2 Recognizable peple or property? (yes and No) 

For wheat seeds images food related images should i choose option 1 or option 2. thanks.

Your example does not show a recognizable property. That is a property, like the inside of my home, where I would recognize that you reproduced my home. The same for people. You reproduced a picture of someone living, then they are recognizable and you need a model release. So as soon as you have a fictional property or fictional people, you need to tick People and Property are fictional. If they are not, you need to have releases.

If the image contains fictional people or property, check the box.

Real People, or Illustrations based on real people will need to sign a model release to use the image commercially.

Property such as landmarks, homes, hotels, etc... must have a signed property release by the entity that owns it.

If neither apply, select NO.

There are no recognizable people or property in this image so the choice is No. If you check this box, you will be required to upload either a model release or a property release. It really only applies to assets which contain intellectual property. A mound of wheat is not anyone's protected IP.