An Option That Gives the Holder the Right to Sell

question 25

Multiple Choice

An option that gives the holder the right to sell a stock at a specified price at some time in the future is called a(n)

• A) Call option.
• B) Put option.
• C) Out-of-the-money option.
• D) Naked option.
• E) Covered option.

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Definitions:

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