That's the way to express that someone owns something.

(So drückst du aus, dass jemanden etwas gehört.)

With persons and animals:
Singular: 's Plural: s'
This is Tom's bike. These are the boys' bikes.
This is Kathy's mother. This is the girls' mum.
With things:  
The colour of the table is black. The second chapter of this book.


Exercise 1          
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