An Option That Gives the Holder the Right to Sell

question 22

Multiple Choice

An option that gives the holder the right to sell a stock at a specified price at some future time is

• A) a put option.
• B) an out-of-the-money option.
• C) a naked option.
• D) a covered option.
• E) a call option.

---

Definitions:

Beginning Merchandise Inventory

The value of a company's inventory of goods available for sale at the start of an accounting period.

Income Statement

A financial document that reports a company's financial performance over a specific accounting period, detailing revenue, expenses, and net income.

Missing Figures

Refers to the values or data not present or unidentified in financial statements or calculations that are necessary for complete analysis.